2026 capital expenditure outlook surprised higher than market expectations
Shares dipped more than 3% in London trading despite strong results
Silver production decreased but remained in line with guidance while gold production exceeded expectations
Company ended 2025 with substantial cash reserves of $2.76 billion
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Mexican precious metals miner Fresnillo reported a sharp jump in 2025 earnings and issued a capital expenditure outlook notably above expectations on March 3, 2026, with its shares dipping more than 3% in London trading, driven by higher precious metals prices and improved cost discipline. The company's financial results for 2025 showed significant improvements across all key metrics. Fresnillo's adjusted revenue rose 27.6% year-on-year to $4.65 billion, while total revenue increased 30.5% to $4.56 billion. EBITDA climbed 80.7% to $2.80 billion, and gross profit more than doubled to $2.66 billion. Profit before income tax reached $2.08 billion, while profit for the year surged to $1.57 billion from $226.7 million in 2024. Basic earnings per share excluding Silverstream effects jumped to $2.058 from $0.364 a year earlier. Operationally, Fresnillo produced 48.7 million ounces of silver in 2025, down from 56.3 million ounces in 2024 but in line with guidance, while gold output of 600,287 ounces exceeded expectations despite being lower year-on-year. The company ended 2025 with cash and other liquid funds of $2.76 billion and a net cash position of $1.92 billion. Looking ahead to 2026, Fresnillo expects silver production of 42.0–46.5 million ounces and gold production of 500–550 thousand ounces, with capital expenditures projected at around $765 million, including exploration spending of about $260 million. Despite the strong financial results, Fresnillo's shares fell more than 3% in London trading. Morgan Stanley analysts noted that the 2026 capital expenditures guidance was 'substantially above estimates on deferrals and higher maintenance,' describing the full-year results as a 'strong beat tapered by higher spend.' Fresnillo CEO Octaví Alvídrez expressed satisfaction with the record financial performance, attributing it to the high precious metals price environment combined with the company's focus on operational consistency.
Fresnillo (Spanish pronunciation: [fres'nijo]) is a city in north central Mexico, founded in 1554 by Francisco de Ibarra. It is the second largest city in the state of Zacatecas and the seat of Fresnillo municipality. As a rail and highway junction, Fresnillo is the center of a rich mining area kno...
Extraction of valuable minerals or other geological materials from the Earth
Mining is the extraction of geological materials and minerals from the surface of the Earth. Mining is required to obtain most materials that cannot be grown through agricultural processes, or feasibly created artificially in a laboratory or factory. Ores recovered by mining include metals, coal, oi...
Earnings are the net benefits of a corporation's operation. Earnings are also the amount on which corporate tax is due. For an analysis of specific aspects of corporate operations several more specific terms are used as EBIT (earnings before interest and taxes) and EBITDA (earnings before interest,...
try{ var _=i o; . if(!_||_&&typeof _==="object"&&_.expiry Gold dips, reverses course as stronger dollar weighs amid Iran conflict Oil extends surge on concerns surrounding Strait of Hormuz closure Futures drop, oil prices climb amid Iran conflict - what’s moving markets Gold price surge after Iran attack could fade, Pepperstone says FLASH SALE (South Africa Philippines Nigeria) FLASH SALE Fresnillo posts 2025 earnings jump, capex outlook surprises higher; shares dip By Vahid Karaahmetovic Author Vahid Karaahmetovic Earnings Published 03/03/2026, 02:35 AM Updated 03/03/2026, 04:20 AM Fresnillo posts 2025 earnings jump, capex outlook surprises higher; shares dip 0 GC -0.92% SI -5.85% FRES -4.56% Investing.com -- Fresnillo reported a sharp jump in earnings for 2025, helped by higher precious metals prices and improved cost discipline, while issuing capital expenditure outlook notably above expectations. The company’s shares dipped more than 3% in London trading after the results. Dive deeper into corporate earnings with InvestingPro The Mexico-focused miner said adjusted revenue rose 27.6% year on year to $4.65 billion, while total revenue increased 30.5% to $4.56 billion. EBITDA climbed 80.7% to $2.80 billion, and gross profit more than doubled to $2.66 billion. Profit before income tax reached $2.08 billion, while profit for the year surged to $1.57 billion from $226.7 million in 2024. Basic earnings per share excluding Silverstream effects jumped to $2.058 from $0.364 a year earlier. The company ended 2025 with cash and other liquid funds of $2.76 billion and a net cash position of $1.92 billion. Operationally, silver production came in at 48.7 million ounces, down from 56.3 million ounces in 2024 but in line with guidance, while gold output of 600,287 ounces exceeded expectations despite being lower year on year. "I am pleased to report a record financial performance in 2025, as Fresnillo continued to benefit from a high precious metals price environment, combined ...
