Canada's Discovery Silver Q2 revenue more than doubles, helped by Kidd Operations acquisition

Discovery Mining

13/08/2026 11:13

Overview
Canada gold and base metals miner's Q2 revenue more than doubled from prior year
Q2 adjusted EPS rose sharply year-over-year
Company completed Kidd Operations acquisition, expanding processing capacity and mineral exposure

Outlook
Discovery sees 2026 gold production at 260–300 koz
Company expects 2026 gold operating cash costs of C$1,250–1,400/oz sold and AISC of C$1,950–2,250/oz sold
Discovery says 2026 guidance unchanged and does not yet include Kidd Operations

Result Drivers
KIDD OPERATIONS ACQUISITION - Co said acquisition expanded processing capacity, added land and infrastructure, and provided exposure to critical minerals
HIGHER TONNES PROCESSED - Q2 gold production increase mainly driven by 29% rise in tonnes processed, offsetting lower average grade
INCREASED CAPITAL SPENDING - Capital expenditures focused on tailings expansion, production increases, and advancing Pamour toward commercial production

Company press release: ID:nGNX14RQZv

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
 
C$319.09 mln
 
Q2 Adjusted EPS
 
C$0.11
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the diversified mining peer group is "buy"
Wall Street's median 12-month price target for Discovery Mining Ltd is C$13.00, about 20% above its August 12 closing price of C$10.83
The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 15 three months ago

Reuters Recommended Reads
Aug 12 - Canada's Pan American Silver Q2 adjusted EPS misses estimates on lower gold output
Aug 13 - Canada's G Mining Ventures Q2 free cash flow rises on higher gold prices
Aug 10 - Canada's K92 Mining Q2 profit jumps 116% on mine expansion, infrastructure upgrades

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)