Hochschild Mining reported a sharp improvement in first-half profitability, with adjusted EBITDA rising 119% to $491.5 million on a 62% revenue increase to $844.4 million. Profit before income tax surged to $365.8 million from $109.3 million a year earlier, while basic earnings per share climbed to $0.37 from $0.12.
Production fell 8% to 151,830 gold equivalent ounces compared with the prior-year period, reflecting lower output across operations. All-in sustaining costs rose to $2,448 per gold equivalent ounce, up from $1,873 a year ago, driven by higher royalties, workers' profit-sharing and stronger local currencies in Peru, Argentina and Brazil.
The miner maintained its 2026 attributable production guidance of 300,000 to 328,000 gold equivalent ounces but raised its all-in sustaining cost forecast to a range of $2,380 to $2,500 per ounce, from $2,157 to $2,320 previously. The increase reflects the impact of higher prices on royalties and selling expenses, currency appreciation and continued cost inflation in Argentina.
Capital expenditure guidance for sustaining and development was set at $210 million to $225 million for 2026. Cash and equivalents totaled $308.7 million at June 30, down from $319.6 million at year-end, while the company moved to a net cash position of $51.1 million from a net debt position of $20.0 million.
Hochschild declared an interim dividend of 4.0 cents per share, up from 1.0 cent a year earlier, and paid a $25.7 million final dividend for 2025. The miner also disbursed $58.3 million to its San Jose joint venture partner during the first half.
Operations at the Mara Rosa mine in Brazil are progressing as planned, with a new mining contractor transition completed and further improvements expected in haulage, tailings and water management. Development work continues at Monte Do Carmo, with a construction decision possible by year-end. Hochschild recently submitted a modified environmental impact assessment for the Royropata project in Peru.
