Aya Gold & Silver (TSE:AYA) reported what CEO Benoit La Salle characterized as a strong finish to its 2025 ramp-up year, highlighting record annual revenue, net income, and operating cash flow following commissioning of its new plant in December 2024.
Record financial results as ramp-up year ends
La Salle said 2025 revenue totaled $202 million, up from $39 million in 2024, with figures presented in U.S. dollars. Net income reached $46 million after tax, compared with a $26 million loss the prior year. He noted the result includes more than $14 million of stock-based compensation related to the company’s three-year option program for senior management.
Aya ended 2025 with $136 million in unrestricted cash, plus $16 million in restricted cash held in an account tied to its European Bank for Reconstruction and Development (EBRD) financing. La Salle also referenced a $25 million EBRD credit facility, of which $15 million had been drawn, leaving $10 million available.
Operations: higher throughput, improved recovery, and stockpile build
La Salle emphasized operational improvements across the year, including a shift in the fourth quarter to mining more ore than the plant processed—allowing Aya to rebuild stockpiles. He said the company mined 1.0 million tons and processed 1.1 million tons during 2025, and that in Q4 specifically, mined tonnage exceeded processed tonnage.
The company’s open-pit contribution to total mining was 62% in 2025, as Aya works toward a 70/30 open-pit/underground target mix, according to La Salle.
Plant performance was a central theme. La Salle said the milling rate increased through the year, reaching an average of 3,800 tons per day in Q4, above the plant’s 2,700 tons-per-day nameplate capacity. He also pointed to higher metallurgical performance following issues earlier in the year.
- Recovery: 88.4% for 2025 and 91.2% in Q4, after earlier challenges related to an under-designed oxygen plant that management said was corrected.
- Availability: 96% for 2025 and 99% in Q4.
La Salle said Q4 production totaled 1,547,000 ounces, noting that some ounces were attributable to Boumadine stockpile material that was processed.
Margins and quarterly progression
La Salle described the company’s 2025 story as one of rising margins as the plant ramped up and market conditions improved. He cited Q4 revenue of $75 million, based on a net realized silver price of $58. He also said Aya’s net income progressed quarter-to-quarter, reaching $18 million in Q4, with Q4 earnings per share of $0.12.
Looking ahead, La Salle said Aya already knew the average realized price for Q1 was “more like $80,” about $20 above Q4, which he framed as supportive of future margins.
Zgounder mine plan updated; shift to bulk mining
Management said it completed a new resource and reserve update at Zgounder and revised its mining approach. La Salle explained that Zgounder’s mineralization is not a classic vein system, leading the company to move away from “selective” mining toward a “bulk mining scenario.” He said the revised approach is designed to avoid leaving behind mineralized material that may have been considered uneconomic years ago.
As part of the strategy, La Salle described stockpiling lower-grade material (about 40 to 80 grams per ton silver) for later processing, and said the company had about 250,000 tons on its “regular” stockpile.
On the updated mine plan, La Salle said Zgounder now reflects 6 million ounces of production per year for 11 years, with an average cash cost of $16.26 and an all-in sustaining cost (AISC) “around $19.” He added that the 43-101 mine plan forecast for 2026 is 5.8 million ounces at a cash cost “around $21,” reflecting higher stripping early in the open pit, with strip ratios between 13 and 15.
Boumadine PEA, sulfur market changes, and fast-tracking plans
La Salle said Aya completed a preliminary economic assessment (PEA) for Boumadine in 2025, based on a 2024 resource. He highlighted what he called a low initial capital cost of $446 million and a projected first five years of average annual output of about 400,000 ounces of gold equivalent, or 37.5 million ounces of silver equivalent. He said the PEA used $2,800 gold and $30 silver and generated a pre-tax net present value of $2.2 billion, with an internal rate of return (IRR) of 69% and a payback period of 1.3 years. For years 1–5, he cited an AISC of around $920 on a gold-equivalent basis.
In Q&A, CFO Ugo Landry-Tolszczuk discussed sulfur pricing, saying sulfur had increased from about $150 when the PEA was prepared to “close to $700” more recently. He also said the company’s experience selling tailings was improving its understanding of the concentrate market, including meetings with potential clients in China, and that management expected payables in an updated PEA to “go up pretty substantially.” La Salle said payability in the PEA was 73% and that an offer had since been revised to 75%, adding that there was no long-term agreement signed yet and that management expected potential improvement beyond 75%.
Asked about inflationary pressure on consumables, Landry-Tolszczuk said Morocco’s fuel prices had risen by about $0.30 recently. He also identified zinc and cyanide as key inputs, and said the company had “quite a bit” of cyanide and zinc already on site. La Salle added that Aya’s energy is sourced from the grid, including solar and wind, which he said reduces exposure compared to operations that rely on fuel for power generation.
On fast-tracking Boumadine, La Salle said not needing debt financing could remove months from the timeline that would otherwise be required for lender due diligence. He said work is progressing chapter-by-chapter on the feasibility study, and that the company intends to begin certain elements—such as water and power infrastructure planning—without waiting for project financing processes.
Raphaël Beaudoin, vice president of operations, said early 2026 trends were similar to Q4, with continued stockpile growth and ongoing efforts to increase open-pit mining rates while sustaining underground performance. He added that strip was “slowly decreasing,” throughput was stabilizing, and the team remained focused on maximizing ounce recovery.
La Salle also said Aya expects to complete a U.S. listing, with filings to be made with U.S. regulators and Nasdaq following the release of 2025 financial statements. He said the company expects to release Q1 2026 financial results in mid-May and provide an updated Boumadine technical report over the summer. On M&A, La Salle said Aya is reviewing opportunities in Morocco and expects in-country consolidation could occur in 2026, while remaining disciplined and focused on the jurisdiction.
About Aya Gold & Silver (TSE:AYA)
Aya Gold & Silver Inc is engaged in acquisition, exploration, evaluation, and development of mining properties. The company and its subsidiaries are at the development stage for its Zgounder project and exploration and evaluation stage for projects in Morocco. Its other project includes Boumadine; Amizmiz; Azegour and others.
