Sotkamo Silver, a junior mining company based in Sweden, has reported improved profitability in its silver mining operations compared to the previous year. Despite experiencing a loss in the first quarter of the year, the company saw an increase in silver production and maintained its production guidance for the year.
In the first quarter of the year, Sotkamo Silver reported an operating loss of SEK 1 million on a turnover of SEK 85 million. However, this was an improvement from the operating loss of 9.7 million kronor on a turnover of 67.2 million kronor in the same period the previous year. The company’s EBITDA also increased to 17 million kronor from 6 million kronor in the comparison period.
The increase in profitability was attributed to higher silver production volumes, a higher average silver content, and the favorable development of the silver price. However, sales of zinc and lead decreased due to lower prices and concentrations. Despite these challenges, Sotkamo Silver maintained its production guidelines and expects profitability to remain strong in the coming years.
To improve efficiency and profitability further, Sotkamo Silver is focusing on operational efficiency and closely monitoring external factors such as metal prices and exchange rates. The company is committed to achieving its production targets and maintaining a high level of profitability in the years to come. With its focus on operational efficiency and strategic decision-making, Sotkamo Silver is well positioned for continued success in the future.
