Atico Reports Consolidated Financial Results for Second Quarter of 2025

Executive Summary

• Atico Mining reported Q2 2025 income from mining operations of $4.49 M and net income of $2.72 M, a turnaround from a $0.42 M loss in Q2 2024.
• Sales jumped 94% to $21.1 M driven by higher copper and gold prices; cash flow from operations reached $4.9 M.
• Production declined (copper ‑42%, gold ‑16%) due to lower ore throughput, but the company announced a 6,000‑m near‑mine drill program and a new 30‑year mining agreement with Colombia’s National Mining Agency.

Key Details

• Financial Highlights
• Sales: $21,108,812 (↑ 94% YoY) vs. $10,860,467 in Q2 2024.
• Income from mining operations: $4,488,562 (↑ 76%).
• Net income: $2,721,126 (vs. a loss of $424,612 YoY).
• Operating cash flow before working‑capital changes: $4,933,208 (↑ 99%).

• Cash used for investing activities: $5.4 M (up from $5.1 M).

• Production & Costs

• Copper produced: 2.161 M lbs (‑42% YoY); gold produced: 2,385 oz (‑16%).
• Cash cost per payable pound of copper: $1.73 (↑ 17%).
• All‑in sustaining cash cost per payable pound of copper: $3.91 (up from $2.32).

• Copper grade fell to 1.74% (‑33%); gold grade rose to 2.08 g/t (+7%).

• Operating Metrics

• Material mined: 60,633 t (‑14% YoY).
• Ore processed: 62,007 t (‑13% YoY), 830 t/day (‑3%).

• Recoveries: copper 91.1% (‑1 ppt); gold 57.6% (‑6.6 ppt).

• Liquidity & Debt

• Working‑capital deficit: $13.7 M (↑ from $11.3 M).
• Long‑term loans payable: $6.0 M (down from $7.1 M).

• Payable to National Mining Agency: $4.6 M (down from $8.5 M).

• Corporate Actions

• Executed a new 30‑year mining agreement with the Colombian National Mining Agency on May 23 2025; released pledged metal concentrate security and sold it in June 2025.

• Amended credit agreement on June 30 2025: principal repayment schedule of $2.7 M on July 25 2025 (paid) and $6.0 M on Dec 30 2026.

• Management Changes

• President Alain Bureau stepped down effective Aug 15 2025; will remain as a government‑relations consultant.

• Forward Outlook

• CEO Fernando E. Ganoza expects gradual operational improvements in H2 2025, continued development of higher‑grade zones, and execution of the 6,000 m drill program to replenish resources and extend mine life.

Notable Quotes

“During the period, production results, increased concentrate sales and strong metal prices led to improved financial performance. We anticipate gradual operational improvements will continue through the remainder of the year which should drive financial results.” – Fernando E. Ganoza, CEO & Director

“For the second half of the year, we will continue the planned development and preparation pace into the upper higher‑grade zones at El Roble. In parallel, we are conducting a 6,000 meter near‑mine drill program at El Roble to replenish resources and extend the mine's life.” – Fernando E. Ganoza, CEO & Director