Amerigo Resources (ARG) Q1 2025 earnings summary

Executive summary

• Q1 2025 net income was $3.3 million and EPS $0.02, down from $4.3 million and $0.03 in Q1 2024, mainly due to lower copper production from the annual maintenance shutdown.

• EBITDA reached $15.2 million, up from $13.6 million year-over-year, and operating cash flow before non-cash working capital was $11.6 million, up from $10.2 million.

• Free cash flow to equity was $4.8 million, down from $7.3 million in Q1 2024, after $6.8 million in capital expenditures.

• $4.6 million was returned to shareholders via dividends and buybacks, including a Cdn $0.03 per share dividend and $1.1 million in share repurchases.

• Maintained excellent safety record with no lost-time accidents for over three years and no environmental incidents; plant availability was 97.6%.

Financial highlights

• Q1 2025 revenue was $44.2 million, slightly down from $44.9 million in Q1 2024; copper tolling revenue was $40.6 million and molybdenum $3.6 million.

• Copper production was 13.2 million lbs, down 17.5% from 16.0 million lbs in Q1 2024 due to the maintenance shutdown.

• Average copper price realized was $4.42/lb, up from $3.95/lb year-over-year.

• Cash cost per pound increased to $2.22 from $1.96 in Q1 2024, reflecting lower production.

• Cash and cash equivalents at March 31, 2025, were $27.7 million, down from $35.9 million at year-end.

Outlook and guidance

• Annual copper production guidance of 62.9 million lbs remains on track, with the maintenance shutdown impact already factored in.

• Full-year CapEx guidance is $13 million, with most spending front-loaded in Q1 due to shutdown timing.

• Expectation to be debt-free by year-end, freeing up $7–9 million annually for shareholder returns.

• Copper price volatility anticipated, but average price expected to exceed the $4.15 budget assumption.

• Management remains focused on safety, cost control, and meeting production targets.