(Kitco News) - First Majestic Silver (NYSE: AG) announced today that in Q2 it produced 5.3 million silver equivalent ounces, consisting of 2,104,181 silver ounces and 39,339 gold ounces, a 7% and 9% increase, respectively, when compared to Q1 2024.
Quarterly revenues dropped year-on-year, $136.2 million compared to $146.7 million in Q2 2023. The company said that the 7% decrease in revenue was driven by a 15% decrease in the total number of payable AgEq ounces sold due to higher silver inventory levels held at quarter end, lower production levels at San Dimas and La Encantada, and the temporary suspension of mining activities at Jerritt Canyon in March 2023, partially offset by increased production at Santa Elena and an increase in the average realized silver price.
Revenues in Q2 were up 28% compared to the previous quarter, Q1. The company held 729,771 silver ounces in finished goods inventory as at March 31, 2024, inclusive of coins and bullion. The company said that the fair value of this inventory at March 31, 2024, was $17.9 million.
Consolidated cash costs of $15.00 per AgEq ounce and all-in sustaining costs of $21.53 per AgEq ounce represented a decrease of 1% and an increase of 3%, respectively, compared to Q1 2023.
At the end of the quarter, the company had a cash and restricted cash balance of $229.3 million consisting of $102.1 million cash and cash equivalents and $127.2 million of restricted cash.
As of noon First Majestic Silver traded down 13% to $7.31.
