Silvercorp Metals Inc. (TSX: SVM) (NYSE American: SVM) reported its financial and operating results for the three months and twelve months ended March 31, 2025. All amounts are expressed in US dollars, and figures may not add due to rounding.

HIGHLIGHTS FOR Q4 FISCAL 2025

• Processed 345,984 tonnes of ore, and produced approximately 3,110 ounces of gold, 1.630 million oz of silver, or approximately 1.917 million oz of silver equivalent¹, 16.262 million pounds of lead and 4.404 million lb of zinc;
• Sold approximately 3,465 oz of gold, 1.599 million oz of silver, 16.263 million lb of lead, and 4.488 million lb of zinc, for revenue of $75.1 million;
• Loss attributable to equity shareholders of $7.6 million, or $0.03 per share;
• Adjusted net income attributable to equity shareholders¹ of $14.7 million, or $0.07 per share, after excluding a $20.6 millioncharge on the fair value of derivative liabilities related to convertible notes and warrants, and other non-cash or non-routine items;
• Cash costs per oz of silver, net of by-product credits¹, of $2.49;
• All-in sustaining costs per oz of silver, net of by-product credits¹, of $14.31;
• Generated cash flow from operating activities of $30.7 million;
• Spent and capitalized $9.9 million on exploration, development, and equipment and facilities for the China operations;
• Spent and capitalized $3.1 million for the El Domo project;
• Ended the period with cash and cash equivalents and short-term investments of $369.1 million, an increase of $14.5 million from the previous quarter, and a portfolio of equity investment with a total market value of $70.9 million. The Company also has a stream financing credit of $175 million available for the El Domo project construction.

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¹ Non-GAAP measures, please refer to section 15 of the corresponding MD&A for the year ended March 31, 2025 for reconciliation.

HIGHLIGHTS FOR FISCAL 2025

• Processed 1,312,695 tonnes of ore, and produced approximately 7,495 oz of gold, 6.948 million oz of silver, or approximately 7.589 million oz of silver equivalent¹, plus 62.170 million lb of lead and 23.317 million lb of zinc;
• Sold approximately 7,577 oz of gold, 6.930 million oz of silver, or approximately 7.589 million oz of silver equivalent, plus 62.256 million lb of lead, and 23.469 million lb of zinc, for revenue of $298.9 million;
• Net income attributable to equity shareholders of $58.2 million, or $0.29 per share;
• Adjusted net income attributable to equity shareholders of $75.1 million, or $0.37 per share, after excluding $9.0 million loss on the fair value of derivative liabilities, $8.9 million one-time mineral right royalty to renew a mining permit, $15.1 million other non-cash or non-routine expenses, and $12.5 million gain on mark to market investments;
• Cash costs per oz of silver, net of by-product credits, of negative $0.54;
• All-in sustaining costs per oz of silver, net of by-product credits, of $12.12;
• Generated cash flow from operating activities of $138.6 million;
• Completed the acquisition of Adventus Mining Corporation on July 31, 2024 at a total cost of $181.3 million, including $150.5 million in shares, $27.0 million cash investments and advances, and $3.8 million in cash transaction costs;
• Spent and capitalized $77.8 million to complete the construction of the No. 3 tailings storage facility and the new 1,500 tonne per day flotation mill, plus exploration and developments for the China operations;
• Spent and capitalized $7.5 million on the El Domo project and $1.3 million on the Condor project;
• Raised $143.3 million net proceeds through an issue of $150.0 million unsecured senior convertible notes;
• Repaid $13.3 million to Wheaton Precious Metals International Ltd. to eliminate obligations to deliver 92.3 oz of gold per month to Wheaton; and
• Spent $5.9 million on dividends to the shareholders of the Company and for share buy backs.

CONSOLIDATED FINANCIAL AND OPERATIONAL RESULTS

CONSOLIDATED FINANCIAL RESULTS

1. Q4 Fiscal 2025 Financial Results

Net loss attributable to equity shareholders of the Company in Q4 Fiscal 2025 was $7.6 million or $0.03 per share, compared to net income of $5.5 million or $0.03 per share in the three months ended March 31, 2024.

The adjusted net income to equity shareholders was $14.7 million or $0.07 per share, after excluding the $20.6 million charge on the fair value of derivative liabilities related to convertible notes and warrants, $6.7 million non-cash expenses or non-routine expenses, including stock base compensation, foreign exchange loss, share of loss in associates, and non-cash portion of interest accrual related to convertible notes, and $4.9 million gain on mark to market investments, compared to $3.8 million or $0.02 per share in Q4 Fiscal 2024.

Revenue in Q4 Fiscal 2025 was $75.1 million, up 76% compared to $42.7 million in Q4 Fiscal 2024. The increase is due to 81%, 40%, 37% and 1% respectively more gold, silver, lead and zinc metal produced and sold, coupled with increases of 33%, 34%, 6% and 23%, respectively, in the selling prices for gold, silver, lead and zinc , generating an increase of $20.9 million arising from the increase of metals  produced and sold plus a $10.7 million increase arising from higher selling prices.

Income from mine operations in Q4 Fiscal 2025 was $26.1 million, up 101% compared to $13.0 million in Q4 Fiscal 2024. The increase was mainly due to the increase in revenue arising from the increases in the net realized metal selling prices and more metals produced and sold.

Cash flow provided by operating activities in Q4 Fiscal 2025 was $30.7 million, up $20.5 million, compared to $10.2 million in Q4 Fiscal 2024. The increase was due to:

• $29.2 million cash flow from operations before changes in non-cash operating working capital, up $15.0 million compared to $14.2 million in Q4 Fiscal 2024; and
• $1.5 million cash from changes in non-cash working capital, compared to $4.0 million used in Q4 Fiscal 2024.

Compared to Q4 Fiscal 2024, other items that impacted this quarter’s consolidated financial results were:

2. i)        an increase of $2.5 million for mining preparation tunnels were expensed as mining cost;
   ii)       an increase of $3.9 million gain on investments;
   iii)      an increase of $1.0 million in mineral right royalty payment; and
   iv)      a $20.6 million charge on the fair value of derivative liabilities related to convertible notes and warrants,

Cash, cash equivalents and short term investments at the end of the quarter was $369.1 million, up 100% or $184.2 million compared to $184.9 million as at March 31, 2024, and up 4% or $14.5 million compared to $354.6 million as at December 31, 2024. The Company holds a further portfolio of equity investments with a total market value of $70.9 million as at March 31, 2025.

2. Fiscal 2025 Financial Results

Net income attributable to equity shareholders of the Company in Fiscal 2025 was $58.2 million or $0.29 per share, compared to net income of $36.3 million or $0.21 per share in Fiscal 2024.

The adjusted basic earnings to equity shareholders were $75.1 million or $0.37 per share, after excluding a $9.0 million charge on the fair value of derivative liabilities, an $8.9 million one-time mineral rights royalty to renew a mining permit, $15.1 million in other non-cash or non-routine expenses, and $12.5 million gain on mark to market investments, compared to $39.3 million or $0.22 per share in the prior year quarter.

Revenue in Fiscal 2025 was $298.9 million, up 39% compared to $215.2 million in Fiscal 2024. This was mainly due to  increases of 4%,11%, 3%, and 1%, respectively, in gold, silver, lead, and zinc produced and  sold; coupled with increases of 31%, 35%, 12% and 35%, respectively, in the selling prices for gold, silver, lead and zinc, generating an increase of $21.5 million as a result of more metals produced and sold, and an increase of $60.7 million from the higher selling prices.

Income from mine operations in Fiscal 2025 was $123.6 million, up 53% compared to $80.6 million in Fiscal 2024. The increase was mainly due to more metals produced and sold and the increases in the net realized metal selling prices. Income from mine operations at the Ying Mining District was $114.1 million, compared to $77.9 million in Fiscal 2024. Income from mine operations at the GC Mine was $11.3 million, compared to $3.1 million in Fiscal 2024.

Cash flow provided by operating activities in Fiscal 2025 was $138.6 million, up $47.1 million compared to $91.6 million in Fiscal 2024. The increase was due to:

• $131.0 million cash flow from operations before changes in non-cash operating working capital, up $43.6 million compared to $87.5 million in Fiscal 2024; and
• $7.6 million cash from changes in non-cash working capital, compared to $4.1 million provided in Fiscal 2024.

Compared to Fiscal 2024, other items that impacted the Company’s consolidated financial results were:

12. i)        an increase of $12.1 million for mining preparation tunnels that were expensed as mining cost;
    ii)       an increase of $4.8 million in gain on investments;
    iii)      a $12.8 million mineral rights royalty resulting from a one-time payment to renew the SGX mining permit and a new mining rights regulation implemented in China in 2024;
    iv)      a $9.0 million charge on the fair value of derivative liabilities related to convertible notes and warrants,
    v)       an increase of $3.5 million in corporate administrative expenses related to the acquisition of Adventus; and
    vi)      an increase of $2.5 million in business development expenditures.

CONSOLIDATED OPERATIONAL RESULTS

1. Q4 Fiscal 2025 Operational Results

In Q4 Fiscal 2025, on a consolidated basis, the Company processed 345,984 tonnes of ore, up 46% compared to 237,493 tonnes of ore in Q4 Fiscal 2024.

Approximately 3,110 oz of gold, 1.630 million oz of silver, or approximately 1.917 million oz of silver equivalent, plus 16.262 million lb of lead and 4.404 million lb of zinc were produced in Q4 Fiscal 2025, representing increases of 62%, 42%, 45% and 30% in gold, silver, silver equivalent, and lead, and a decrease of 3% in zinc over Q4 Fiscal 2024.

In Q4 Fiscal 2025, the consolidated production cost was $83.36 per tonne of ore processed, effectively the same compared to $84.31 per tonne in Q4 Fiscal 2024, while the AISC was $132.50 per tonne, down 8% compared to $143.38 per tonne in Q4 Fiscal 2024.

The consolidated cash cost per ounce of silver, net of by-product credits, was $2.49, compared to $1.22 in Q4 Fiscal 2024. The increase was mainly due to an increase of $3.74 in cash cost per oz of silver, offset by an increase of $2.47 in by-product credits per oz as revenue from other metals increased. The consolidated AISC per oz of silver, net of by-product credits, was $14.31, down 0.3% compared to $14.36 in Q4 Fiscal 2024.

2. Fiscal 2025 Operational Results

For Fiscal 2025, on a consolidated basis, the Company processed 1,312,695 tonnes of ore, up 19% compared to 1,106,195 tonnes in Fiscal 2024. A total of 86,488 tonnes of gold ore were processed in Fiscal 2025, up 48% compared to 58,262 tonnes in Fiscal 2024.

Approximately 7,495 oz of gold, 6.948 million oz of silver, or approximately 7.589 million oz of silver equivalent, plus 62.170 million lb of lead and 23.317 lb of zinc were produced in Fiscal 2025, representing increases of 3%, 12% and 11%, respectively, in gold, silver and silver equivalent production, and decreases of 2%, and 0.3%, respectively, in lead and zinc production over Fiscal 2024.

The consolidated cash cost was $80.86 per tonne of ore processed, up 3% compared to $78.86 per tonne in Fiscal 2024, while the AISC was $142.09 per tonne of ore processed, up 1% compared to $140.40 per tonne in Fiscal 2024. The slight increase was due to more tunneling developments.

The consolidated cash cost per oz of silver, net of by-product credits, was negative $0.54, compared to negative $0.38 in Fiscal 2024. The decrease in cash cost was due to an increase in by-product credits as revenue from other metals increased.

The consolidated all-in sustaining cost for silver, net of by-product credits, was $12.12 per oz, up 7% compared to $11.38 in Fiscal 2024. The increase was mainly due to i) an increase of $2.1 million in mineral resources tax; and ii) an increase of $4.5 million in mineral rights royalty due to the new regulation of 2.3% mineral right royalty on unpaid mineral resources in China.

EXPLORATION AND DEVELOPMENT

Total capital expenditures in Fiscal 2025 were $86.6 million, up 35% compared to $64.0 million in Fiscal 2024 as the Company completed construction and commissioning of the No. 3 tailings storage facility and a new 1,500 t/d flotation mill line at the Ying Mining District, plus the Company incurred an additional $7.5 million capital expenditures at the newly acquired El Domo Project and $1.3 million at the Condor Project.

For underground exploration drilling:

4. i)        177,137 metres drilled were in-fill drilling and $4.7 million was booked as mining costs (Fiscal 2024 – 137,570 metres or $2.9 million); and
   ii)       102,139 metres drilled were growth drilling and $2.8 million was capitalized (Fiscal 2024 – 158,450 metres or $6.2 million).

For underground development and tunneling:

27. i)        71,821 metres completed were mining preparation tunnels and $27.3 million was   booked as mining costs (Fiscal 2024 – 41,223 metres or $15.2 million), $12.1 million more than Fiscal 2024; and
    ii)       108,686 metres completed were growth tunnels, raises, ramps and declines and $51.5 million was capitalized (Fiscal 2024 – 99,664 metres or $45.0 million).

The Kuanping Project has received all required permits and licenses and the Company worked on a construction plan in Q4 Fiscal 2025.

INDIVIDUAL MINE OPERATING PERFORMANCE  

In Q4 Fiscal 2025, a total of 304,224 tonnes of ore with head grades of 172 g/t for silver, 2.6% for lead, and 0.5% for zinc were processed at the Ying Mining District, up 69% compared to 180,267 tonnes with head grades of 197 g/t for silver, 3.1% for lead, and 0.6% for zinc.  Approximately 3,110 oz of gold, 1.563 million oz of silver, or 1.850 million oz of silver equivalent, plus 15.563 million lb of lead, and 2.039 million lb of zinc were produced, an increase of 62%, 47%, 50%, 38%, and 17%, in gold, silver, silver equivalent, lead and zinc, respectively, compared to Q4 Fiscal 2024.

In Fiscal 2025, a total of 1,013,659 tonnes of ore with head grades of 212 g/t for silver, 2.8% for lead, and 0.6% for zinc were processed at the Ying Mining District, up 24% compared to 816,145 tonnes with head grades of 231 g/t for silver, 3.4% for lead, and 0.7% for zinc milled in Fiscal 2024.  Approximately 7,495 oz of gold, 6.431 million oz of silver, or 7.072 million oz of silver equivalent, 56.847 million lb of lead and 8.552 million lb of zinc were produced, an increase of 3%, 13%, 12%, 1% and 4%, in gold, silver, silver equivalent, lead, and zinc, respectively, compared to Fiscal 2024.

In Q4 Fiscal 2025, a total of 41,760 tonnes of ore with head grades of 61 g/t for silver, 0.9% for lead, and 2.9% for zinc were processed at the GC Mine, down 27% compared to 57,226 tonnes with head grades of 57 g/t for silver, 1.1% for lead, and 2.5% for zinc in Q4 Fiscal 2024. Metals produced at the GC Mine were approximately 67,000 oz of silver, 0.699 million lb of lead, and 2.365 million lb of zinc, a decrease of 23%, 42%, and 16%, in silver, lead and zinc production, respectively, compared to Q4 Fiscal 2024.

In Fiscal 2025, a total of 299,036 tonnes with head grades of 67 g/t for silver, 0.9% for lead, and 2.5% for zinc were processed at the GC Mine, up 3% compared to 290,050 tonnes with head grades of 69 g/t for silver, 1.2% for lead, and 2.6% for zinc milled in Fiscal 2024.  Metals produced at the GC Mine were approximately 0.517 million oz of silver, 5.323 million lb of lead, and 14.765 million lb of zinc, compared to 0.527 million oz of silver, 6.902 million lb of lead, and 15.172 million lb of zinc in Fiscal 2024.

CONFERENCE CALL DETAILS 

A conference call to discuss these results will be held on Friday, May 23, at 9:00 am PDT (12:00 pm EDT). To participate in the conference call, please dial the numbers below.

Canada/USA TF: 888-510-2154

International/Local Toll: 437-900-0527

Conference ID: 40810

Participants should dial-in 10 – 15 minutes prior to the start time. A replay of the conference call and transcript will be available on the Company’s website at www.silvercorpmetals.com.

Mr. Guoliang Ma, P.Geo., Manager of Exploration and Resources of the Company, is the Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) and has reviewed and given consent to the technical information contained in this news release.

About Silvercorp 

Silvercorp is a Canadian mining company producing silver, gold, lead, and zinc with a long history of profitability and growth potential. The Company’s strategy is to create shareholder value by 1) focusing on generating free cash flow from long life mines; 2) organic growth through extensive drilling for discovery; 3) ongoing merger and acquisition efforts to unlock value; and 4) long term commitment to responsible mining and ESG. For more information, please visit our website at www.silvercorpmetals.com.

For further information

Silvercorp Metals Inc.

Lon Shaver

President

Phone: (604) 669-9397

Toll Free 1(888) 224-1881

Email: investor@silvercorp.ca

Website: www.silvercorpmetals.com