Vancouver, August 14, 2017– Fortuna Silver Mines Inc. (NYSE: FSM) (TSX: FVI) today reported net income of $8.9 million, Adjusted EBITDA of $26.4 million, and revenue of $63.9 million in the second quarter of 2017.
Jorge A. Ganoza, President and CEO, commented, “Our San Jose and Caylloma mines have delivered strong production and financial results. Higher operating costs at both operations are expected to recede in the second half of the year and remain within 5% of our annual cost guidance.” Mr. Ganoza continued, “At our Lindero gold project in Argentina, feasibility study optimization work continues to advance as planned in order to support a construction decision next month.”
Second quarter consolidated financial highlights:
- Sales of $63.9 million, compared to $44.5 million in Q2 2016
- Net income of $8.9 million, compared to net loss of $1.4 million in Q2 2016
- Earnings per share of $0.06, compared to a net loss per share of $0.01 in Q2 2016
- Adjusted EBITDA of $26.4 million and Adjusted EBITDA margin over sales of 41%
- Cash flow from operations before changes in non-cash working capital of $16.7 million, compared to $7.4 million in Q2 2016
- Cash position, including short term investments, and working capital as at June 30, 2016 was $188.0 million and $186.8 million, respectively
- Silver and gold production of 2,116,863 and 14,547 ounces, respectively
- AISCC* per ounce of payable silver was $8.22
* All-in sustaining cash cost is net of by-product credits for gold, lead and zinc (Non-GAAP Financial Measure)