Discovery Silver Corp. Q3 2026 Earnings Recap

Shares fell 8.8% after earnings, despite record revenue and EBITDA, as higher costs and accelerating investment weighed on the quarter’s cash generation. Cash costs rose to $1,470 per ounce sold and AISC to $2,293, while capital spending reached $116 million.

Key Takeaways

• Revenue rose 16% quarter over quarter to a record $371 million, reflecting 8% more ounces sold at Porcupine and a full quarter of Kidd operations.
• EBITDA increased 7% sequentially to a record $181 million; year-to-date EBITDA was $529 million, versus $171 million in the same period last year.
• Free cash flow was $87 million, up from an $11 million outflow in Q2, but cash capital spending climbed to $116 million.
• Higher royalties and processing higher-cost inventory contributed to cash costs of $1,470 per ounce; AISC was $2,293 per ounce, including higher sustaining investment.
• Cash increased 24% to $450 million at September 30. Management also cited key Cordero permits received and exploration potential at Pamour and Dome as growth priorities.