Avino Announces Q3 2025 Financial Results

Avino announced its third-quarter 2025 financial results on November 6, 2025. The company reported record net income of $7.7 million ($0.05 per share), record cash of $57.3 million, and record working capital of $51 million. Revenues for the quarter were $21 million. Production for the quarter was 580,780 silver equivalent ounces (AgEq oz), with an All-in Sustaining Cost (AISC) of $24.06 per AgEq payable ounce sold.

The company reiterated its full-year 2025 production guidance of 2.5 to 2.8 million AgEq ounces. The release also highlighted the continued advancement of the La Preciosa project, where processing of stockpiled mineralized material is underway ahead of schedule. The news also recapped recent positive developments, including the acquisition and elimination of the La Preciosa royalty and high-grade confirmatory drill results.

The Q3 2025 financial results are materially positive, demonstrating strong profitability and balance sheet growth, although not without a significant point of concern.

• Positives: The headline numbers are exceptional. Achieving record net income, cash, and working capital is a significant accomplishment. The cash balance of $57.3 million is particularly impressive, considering the company made a $13.25 million upfront payment in August 2025 to buy out the La Preciosa royalty. This demonstrates the robust cash-generating capability of the core Avino Mine operation. The company is successfully funding the development of its key growth project, La Preciosa, from internal cash flow. Progress at La Preciosa remains ahead of schedule, a crucial positive for a development project, de-risking the timeline to production. The company is firmly on track to achieve its 2025 production guidance, likely landing near or above the midpoint.

• Negatives: The most significant negative is the sharp increase in All-in Sustaining Costs (AISC) to $24.06 per ounce. This is a substantial jump from $20.93 in Q2 2025 and $20.08 in Q1 2025, and marks the highest cost figure in the past year. While strong metal prices have masked the impact on profitability for now, this rising cost trend is a serious concern. If costs remain at this level or continue to escalate, margins will be significantly squeezed, especially in a flat or declining metal price environment. The news release does not provide a clear reason for this cost increase.

• Historical Context: In February 2025, the company guided for 2.5-2.8M AgEq oz for the year. With 1.9M oz produced year-to-date, they are on track to meet this goal. The key strategic move of the year was the August 2025 buyout of the La Preciosa royalty, which simplifies the asset and will improve its future economics. The consistently positive drill results from La Preciosa throughout the year have successfully de-risked the geological model. The company has executed well on its stated plans for 2025.

Overall, the positive impact of record profitability and the very strong balance sheet outweighs the concern over the single-quarter spike in AISC. The market will likely react positively to the earnings beat and cash build. However, as critical analysts, the cost structure must be monitored closely, as it represents the primary risk to future profitability.

Avino Silver & Gold Mines Ltd. is a precious metals producer operating in Durango, Mexico. The company's primary asset is the Avino Property, which hosts the producing Avino Mine (supplying silver, gold, and copper concentrate) and a 2,500-tonne-per-day mill.

The company's flagship growth project is La Preciosa, one of Mexico's largest undeveloped primary silver resources, located just 19km from the existing Avino mill. After receiving permits in January 2025, Avino commenced underground development to access the high-grade Gloria and Abundancia veins. The strategy is to mine La Preciosa via underground methods and process the material at the existing Avino mill, creating a significant growth pathway toward becoming an intermediate silver producer.