Americas Gold And Silver Bets Big On Growth

Americas Gold And Silver Corporation ((TSE:USA)) has held its Q4 earnings call. Read on for the main highlights of the call.

Americas Gold And Silver’s latest earnings call carried a notably upbeat tone, spotlighting a company in the middle of a tangible operational transformation. Management stressed record silver production, major mine upgrades and fresh exploration success, while acknowledging that heavy capex, planned outages and continued losses keep execution risk firmly on investors’ radar.

Major Silver Output Surges, With More Growth Ahead

Attributable silver production climbed 52% in 2025 to 2.65 million ounces and about 3.4 million silver‑equivalent ounces, underscoring a strong rebound in the portfolio. Management is targeting another leg up in 2026, guiding consolidated silver output of 3.2–3.6 million ounces, roughly 30% above the midpoint of 2025 guidance.

Cosala Delivers Record Year And Smooth Ramp-Up

The Cosala operation posted a record 1.2 million ounces of silver in 2025, setting both annual and quarterly highs for the mine. A key driver was the successful ramp‑up of the EC120 area to commercial production, showing the operation can convert new projects into steady volumes.

Galena’s Shift To Mechanized Mining Changes The Game

At Galena, the move away from traditional methods toward long‑hole stoping marked a structural shift in how the mine operates, with 7–9 long‑hole stope panels running in 2025 compared with none the year before. Remote‑control mucking and a modernized fleet and communications system have pushed mucking throughput from roughly 50 tonnes to about 200 tonnes per shift.

Shaft Upgrades Unlock Much Higher Hoisting Capacity

The company installed a new 2,250 horsepower motor and a redundant backup on the core shaft, improving reliability and setting the stage for higher volumes. Phase 2 work on the #3 shaft remains on schedule for the second quarter of 2026, with planned hoisting capacity to exceed 100 tonnes per hour, up from about 40 tonnes per hour in 2024.

Galena Resource Base Expands, Extending Mine Life Potential

An updated mineral resource estimate at Galena highlighted the asset’s long‑term potential, with probable reserves exceeding 25 million ounces of silver. Measured and indicated resources now top 115 million ounces, and inferred resources stand above 133 million ounces, all stated as silver rather than silver‑equivalent.

Largest Exploration Program Yields High-Grade Discoveries

Americas Gold And Silver launched its biggest exploration campaign to date at roughly 64,000 meters, indicating a step‑change in growth ambition. The program has already uncovered 10 new high‑grade veins and standout intercepts, with new structures such as veins 34, 149 and 520 materially boosting the Galena resource profile.

Antimony JV Adds Strategic Byproduct Upside

The company entered a joint venture to develop a U.S. antimony processing facility, positioning itself within a critical minerals supply chain. In 2025 Galena delivered about 561,000 pounds of antimony, 9.3 million pounds of lead and 2 million pounds of copper, and new offtake revenue for these byproducts commenced at the start of 2026.

Capital Raise Bolsters Balance Sheet For Growth

A $133 million bought‑deal financing closed in December 2025, providing the cash needed for the Crescent acquisition and other growth projects. Management framed the deal as giving the company the financial flexibility to execute its multi‑year build‑out despite near‑term operating losses.

Institutional Ownership And Market Profile Strengthen

Ownership has shifted sharply toward long‑term holders, with tightly held stakes rising from roughly 7% in late 2024 to more than 65% currently. Inclusion in major mining ETFs such as VanEck GDXJ and SIL, plus an expansion to seven covering analysts, underscores growing institutional confidence in the turnaround story.

Losses Deepen Despite Rising Revenue And Prices

Revenue climbed 18% to $118 million in 2025, helped by higher production and better realized metal prices, but profitability remained elusive. The net loss widened to $87 million, adjusted earnings stayed negative at $35 million and adjusted EBITDA slipped to a $4 million loss, signaling that the growth phase is still in its investment-heavy stage.

Planned Outages Create Near-Term Production Volatility

Galena endured more than 20 days of planned shutdowns in 2025 for shaft work, and management flagged more downtime ahead as upgrades continue. A roughly 10–12 day outage on the #3 shaft is planned for the second quarter of 2026, with a larger back‑fill plant outage in the fourth quarter, creating short‑term cadence risk even as long‑term capacity improves.

High 2026 Capex And Costs Put Pressure On Cash Flow

The company is signaling a heavy spending year in 2026, with consolidated capex forecast at $90–$120 million, including a sizeable Crescent development budget. All‑in sustaining costs are guided at $30–$35 per ounce and exploration spend at $15–$20 million, a combination that will weigh on near‑term cash flow and margins while funding future growth.

Crescent Mine Adds Long-Term Upside, Limited 2026 Impact

The Crescent acquisition is central to the growth narrative but will contribute only modest tonnage and ounces in 2026, given the need for secondary egress and ramp connections. Management expects a more meaningful production contribution once those links are in place, with partial ramp benefits targeted later in the year and fuller impact beyond.

Cosala Resource Reclassification Introduces Short-Term Uncertainty

At Cosala, some resources were moved from the measured and indicated category into inferred, reflecting the need for additional infill drilling rather than a collapse in geology. While this reclassification adds near‑term uncertainty to parts of the mine plan, management emphasized the broader district remains highly prospective.

Revenue Grows But Profitability Still Out Of Reach

The 18% rise in revenue and solid production gains underscore that the growth engine is working, yet the company is still posting GAAP losses and negative EBITDA. For investors, the story remains one of front‑loaded investment and operating refinement, with the earnings inflection still a future event rather than a current reality.

Guidance Signals Another Step-Up, But With Costs

For 2026, management is guiding consolidated silver production between 3.2 and 3.6 million ounces, with 2.2–2.6 million expected from Galena and 1.2–1.4 million from Mexico and all‑in sustaining costs at $30–$35 per ounce. Capex of $90–$120 million, exploration of $15–$20 million, a shift to 60–70% long‑hole stoping and a hoisting capacity boost to over 100 tonnes per hour by the second quarter frame a year of continued build‑out and limited early Crescent volumes.

Americas Gold And Silver’s call painted the picture of a miner in transition, trading near‑term losses, outages and heavy capital spending for higher throughput, bigger resources and a broader product mix. For investors comfortable with execution risk, the combination of record production, stronger balance sheet and growing institutional interest sets up a leveraged bet on a future earnings turnaround.