Wheaton Precious Metals' Q2 2025: Dissecting Contradictions in Production, Cobalt Sales, and Tax Impacts

Production and sales relationship, cobalt sales projections, global minimum tax impact, production distribution and seasonality, mining production predictions are the key contradictions discussed in Wheaton Precious Metals' latest 2025Q2 earnings call.



Record Performance and Growth:
- Wheaton Precious Metals Corp. reported record revenue of $503 million for Q2 2025, up 68% year-on-year.
- The growth was driven by rising commodity prices and strong production, with gold and silver accounting for 65% and 33% of revenue, respectively.

Silver Exposure and Market Dynamics:
- The company's silver exposure contributed significantly to its performance, as silver prices reached their highest level in over a decade.
- This benefited Wheaton due to its substantial silver exposure compared to its peers, positioning it well to capitalize on silver's pricing momentum.

Operational Success and Production Highlights:
- Wheaton achieved record production of 159,000 gold equivalent ounces in Q2, marking a 9% increase year-on-year.
- This was primarily due to higher production at Salobo and the commencement of production at Blackwater, with both assets operating ahead of schedule.

Financial Strength and Liquidity:
- The company ended Q2 with over $1 billion in cash and a fully undrawn $2 billion revolving credit facility.
- This strong balance sheet provides flexibility to fund commitments and pursue additional accretive stream investments as opportunities arise.