Hecla Mining Updates FY25 Guidance for Greens Creek Mine.

Hecla Mining reaffirms FY25 production guidance at Greens Creek, with silver production expected at 8.1-8.8 million oz and gold production at 50-55,000 oz. The company lowers cost outlook, with total cost of sales at $289 million and cash cost at ($6.25)-($5.00) per silver ounce. Capital investment guidance remains unchanged at $48-$51 million in sustaining capital and $10-$12 million in growth capital.

Hecla Mining Co. (HL) reported a strong second quarter (Q2) 2025, with revenue rising 16% to $304.03 million, significantly outperforming analyst expectations of $253.60 million [1]. The company's adjusted EBITDA also hit a record $132.46 million, up from the consensus estimate of $78.30 million [1]. This robust performance was driven by higher realized prices for precious metals and increased production volumes.

Silver and gold production rose by 10% and 34% respectively, compared to the prior quarter. The company's silver production guidance for the Lucky Friday mine remains steady at 4.7-5.1 million ounces, while gold production at Greens Creek has been revised upward to 50-55,000 ounces [1]. Hecla expects the cash cost per silver ounce at Greens Creek to be ($6.25)-($5.00) [1].

To support its balance sheet, Hecla redeemed $212 million of senior notes using funds from a recent equity sale, likely lowering future interest costs [1]. The company's free cash flow for Q2 was $103.75 million, and net income was $57.57 million [1].

Hecla's strong performance reflects broader trends in the precious metals sector. Silver's rally has fueled market optimism, with the company's shares trading at a forward price-to-earnings ratio of 20, just under last quarter's level [2]. Analysts maintain a mixed consensus, with some recommending buying and others urging caution [2].

For the fiscal year 2025, Hecla reaffirms its production guidance at Greens Creek, expecting silver production at 8.1-8.8 million ounces and gold production at 50-55,000 ounces. The company lowers its cost outlook, with total cost of sales at $289 million and cash cost at ($6.25)-($5.00) per silver ounce. Capital investment guidance remains unchanged at $48-$51 million in sustaining capital and $10-$12 million in growth capital [1].

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_PLX5F2868:0-hecla-mining-q2-revenue-up-16-beats-estimates/
[2] https://finimize.com/content/hecla-mining-tops-expectations-with-record-revenue-and-profit