First Majestic Posts Record Free Cash Flow In Second Quarter

FULL DISCLOSURE: First Majestic Silver is a sponsor of theDeepDive.ca.

First Majestic Silver (TSX: AG) (NYSE: AG) has had another record breaking quarter off the back of robust silver equivalent production alongside a rise in the price of silver over the last year. The company in the second quarter of 2025 posted their second consecutive quarter of record breaking topline revenue, with revenue improving 94% year over year to $264.2 million, up from $136.2 million in the year ago period.

54% of revenue was derived from silver sales, with the average realized silver price reaching $34.62 per ounce in Q2, a 24% rise year on year. First Mint meanwhile contributed $7.8 million to quarterly sales figures, which was up from $3.3 million in Q2 2024.

Mine operating earnings improved to $49.4 million in the second quarter, up 219% from $15.5 million in Q2 2024. Excluding non-cash depletion expenses, mine operating earnings are said to have hit $100.9 million.

Overall, net earnings improved to $56.6 million, or $0.11 per share, as compared to a net loss of $48.3 million, or $0.17 per share, in the year ago period, with that figure boosted by a non-cash deferred income tax recovery of $39.6 million. On an adjusted basis, net earnings totaled $18.4 million, or $0.04 per share, as compared to an adjusted net loss of $20.4 million, or $0.07 per share last year.

EBITDA meanwhile totaled $119.9 million, which was a massive 466% increase year over year from $21.2 million in Q2 2024. Adjusted EBITDA came in even higher at $125.3 million, versus the prior $26.4 million.

In terms of cash flow, operating cash flows before non-cash working capital and taxes improved from $23.8 million to $114.9 million, while free cash flow ballooned from $6.4 million to a record $77.9 million in the second quarter of 2025.

First Majestic’s treasury has increased to a record $510.1 million, which consists of $384.8 million in cash and cash equivalents, alongside restricted cash of $125.3 million. Total liquidity meanwhile sits at $583.8 million, which is also a new record, while working capital amounts to $444.1 million, which is after the company repurchased 506,000 common shares at an average price of C$7.94 a share during the quarter.

WATCH: San Dimas: First Majestic Silver’s Sleeper Asset

Operationally, silver equivalent production totaled 7.9 million ounces, as compared to 5.3 million ounces produced in Q2 2024. Broken out, that production figure consisted of 3.7 million ounces of silver and 33,865 ounces of gold, as compared to 2.1 million ounces of silver and 39,339 ounces of gold in the year ago period.

San Dimas was the biggest producer this quarter on an attributable basis for First Majestic, producing 2.5 million silver equivalent ounces, followed by Los Gatos at 2.4 million silver equivalent ounces, and Santa Elena at 2.3 million silver equivalent ounces. La Encantada meanwhile produced 632,942 silver equivalent ounces in Q2.

From a costing perspective, cash costs per silver equivalent ounce declined by 1% year over year, dropping from $15.29 to $15.08 an ounce, while all in sustaining costs fell 3%, falling from $21.64 to $21.02 an ounce. Los Gatos remained the low cost producer within the portfolio, with cash costs of $12.44 an ounce and all in sustaining costs of just $13.70 an ounce.

First Majestic has declared a $0.0048 dividend per common share for Q2 for shareholders of record as of August 29, 2025.

First Majestic last traded at C$12.24 on the TSX.

FULL DISCLOSURE: First Majestic Silver Corp. is a client of Canacom Group, the parent company of The Deep Dive. Canacom Group is currently long the equity of First Majestic Silver Corp. The author has been compensated to cover First Majestic Silver Corp. on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. We may buy or sell securities in the company at any time. Always do additional research and consult a professional before purchasing a security.