Discovery Silver (DSV) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue reached $285 million, up 4% quarter-over-quarter, driven by higher gold prices and increased ounces sold; EBITDA was $178 million and net earnings were $81.7 million ($0.10/share).

• Gold production totaled 60,269 ounces, with Hoyle Pond outperforming and production expected to ramp up in H2 2026.

• Announced acquisition of Kidd operations, expected to close soon, unlocking significant processing capacity, critical minerals exposure, and synergies.

• Strong exploration results across multiple sites, supporting future resource growth and ongoing capital projects at Porcupine and Cordero.

Financial highlights

• EBITDA grew 41% quarter-over-quarter to $178 million, with adjusted free cash flow of $63 million and adjusted net income of $83 million.

• Net earnings were $81.7 million, up 25% from Q4 2025; adjusted EPS was $0.10.

• Operating cash costs per ounce sold were $1,417, and AISC averaged $2,041/oz, both slightly higher than Q4 2025.

• Adjusted operating cash flow was $130 million; cash balance at quarter-end was $384.9 million, with total liquidity of $635 million.

Outlook and guidance

• On track to achieve 2026 guidance: gold production of 260–300 koz, operating cash costs of $1,250–$1,400/oz, and AISC of $1,950–$2,250/oz.

• Production is expected to be weighted to H2 2026, with significant increases in Q3 and Q4 as operational investments take effect.

• Growth capital for 2026 projected at $120–$165 million, with exploration spending of $55–$75 million.

• Cordero project guidance includes $90–$100 million, mainly for land use fees post-environmental approval.