Hecla's Silver Bet: Record Profits Pave Way for Focused Growth

COEUR D'ALENE, Idaho – February 17, 2026 – Hecla Mining Company has capped a self-described "transformational year" by posting record-breaking financial results for 2025, underpinned by strong operational performance and soaring precious metals prices. The company reported a staggering 53% surge in annual revenue to over $1.4 billion and a nine-fold increase in net income to $321 million.

Leveraging this financial momentum, Hecla announced a strategic divestment of its primary gold asset, the Casa Berardi mine in Quebec, for a consideration of up to $593 million. The move signals a decisive pivot to solidify its position as North America's preeminent silver producer, channeling its newfound financial strength into an aggressive exploration and development program focused on its high-grade silver portfolio.

A Financial Fortress Rebuilt

The 2025 financial results paint a picture of a dramatic and successful turnaround for the 135-year-old mining firm. The record $1.4 billion in revenue and $321 million in net income stand in stark contrast to the $930 million in revenue and modest $35 million net income reported in 2024. Adjusted EBITDA, a key metric of operational profitability, nearly doubled to a record $670 million.

Perhaps most striking is the company's aggressive deleveraging. Hecla slashed its total debt by 50% over the prior year, bringing it down to $276 million. Net debt was whittled down to just $34 million, causing its net debt to Adjusted EBITDA ratio to plummet from 1.6x in 2024 to a remarkably low 0.1x. This substantial improvement was fueled by a torrent of cash flow, including $563 million generated from operations and $310 million in free cash flow, with every one of its mines contributing positively.

"2025 was a transformational year for Hecla with strong operational and financial results across a number of key metrics," said Rob Krcmarov, President and Chief Executive Officer, in the company's press release. "Our balance sheet improved significantly and we are now well positioned to invest in value surfacing initiatives focused on our best-in-class project pipeline."

The Strategic Silver Play

Central to Hecla's forward-looking strategy is the pending sale of its Casa Berardi mine. The company entered into a definitive agreement with Orezone Gold Corporation for a total consideration that could reach $593 million. The deal, expected to close in the first quarter of 2026, repositions Hecla's portfolio significantly.

While Casa Berardi was a strong contributor, producing over 91,000 ounces of gold in 2025, its sale crystallizes Hecla's identity as a silver-focused powerhouse. The company anticipates that following the transaction, silver will account for the vast majority of its revenue. This move allows management to concentrate capital and expertise on its three core silver operations: Greens Creek in Alaska, Lucky Friday in Idaho, and the developing Keno Hill project in the Yukon.

Krcmarov stated the sale "positions us as North America's premier silver company." This strategic clarity is a key part of the company's narrative to investors, promising disciplined growth within a high-quality silver portfolio.

Fueling Future Growth Through Exploration

With its balance sheet fortified and the Casa Berardi sale set to further bolster its cash position, Hecla is not resting on its laurels. The company announced plans to nearly double its exploration and pre-development spending in 2026 to an ambitious $55 million.

This renewed exploration push will be directed at its core silver assets and a promising collection of projects in Nevada. The budget for the Nevada region, which includes the Midas, Hollister, and Aurora projects, is set to triple from 2025 levels. This significant investment signals the company's confidence in its ability to discover and develop new resources, extending the life of its current mines and building a pipeline for future production.

Capital expenditures for 2026 are guided at $204-$223 million for its silver operations and corporate projects. Key investments include expanding the tailings facility at Greens Creek to provide capacity through 2045, completing a surface cooling project at Lucky Friday to enhance working conditions, and continuing to build out essential infrastructure like a waste storage facility and water treatment plant at Keno Hill.

Operational Excellence Underpins Success

While favorable metals prices provided a significant tailwind, Hecla's record year was fundamentally built on a foundation of operational success across its mines. Consolidated silver production rose over 5% to 17.0 million ounces, hitting the top end of the company's guidance.

Several mines hit important milestones:
* Lucky Friday: The Idaho-based mine achieved a record annual silver production of 5.3 million ounces, surpassing its own guidance.
* Keno Hill: The Yukon project marked a major turning point, achieving its first full year of profitability and positive free cash flow under Hecla's ownership, producing over 3 million ounces of silver.
* Greens Creek: The Alaskan mine continued its role as a cash-flow juggernaut, producing over 8.7 million ounces of silver and 59,000 ounces of gold. Its all-in sustaining cost (AISC) for silver was an impressive negative $2.36 per ounce after by-product credits, highlighting its world-class polymetallic ore body.

This production was achieved while also improving safety. The company reported a 13% improvement in its Total Recordable Injury Frequency Rate (TRIFR), demonstrating a commitment to operational discipline that extends beyond financial metrics. With its 2026 guidance projecting another strong year of silver production between 15.1 and 16.5 million ounces, Hecla appears poised to capitalize on its newly sharpened strategic focus.