Pan American Silver Corp. · TSX:PAAS
Pan American Silver — Q2 2023 Earnings Presentation
18 slides from Pan American Silver's earnings presentation, Aug 10, 2023
Slide 1: Conference Call, August 10, 2023
1 CONFERENCE CALL // August 10, 2023
Slide 2: Cautionary Note Regarding Forward-Looking Statements and Non-GAAP Measures
2 expenditures in 2023; future anticipated prices for gold, silver and other metals inherent with the business of mining (including environmental accidents and and assumed foreign exchange rates; whether Pan American is able to maintain hazards, industrial accidents, equipment breakdown, unusual or
Slide 3: Technical Information
3 CONTINUED Technical Information Scientific and technical information contained in this presentation has been reviewed and approved by Martin Wafforn, P.Eng., Senior Vice President Technical Services and Processing Optimization, Sébastien Bernier, P.Geo., Senior Director Reserves and Resources, and
Slide 4: Transformative Impact of Yamana Acquisition
4 // TRANSFORMATIVE IMPACT OF YAMANA ACQUISITION Step change in scale with Adjusted earnings of revenue of $639.9M $14.7M, or $0.04 per share Production up 55% for silver and Repaid $55.4M in debt; total 102% for gold, relative to Q1 2023 available liquidity of $644.6M(1) 2023 Guidance maintained De
Slide 5: Revenue, Mine Operating Earnings, Net Loss
5 in millions of US$, except per share amounts Q2 2023 H1 2023 Revenue 639.9 1,030.2 Mine operating earnings 70.6 147.8 Net loss (47.4) (30.9) Basic loss per share(1) (0.13) (0.11) Adjusted earnings (2) 14.7 35.9 Basic adjusted earnings per share(1)(2) 0.04 0.12 Net cash generated from operating act
Slide 6: Silver and Gold Production
6 Silver Production Gold Production (ounces ‘000s) (ounces ‘000s) Q2 2023 H1 2023 Q2 2023 H1 2023 La Colorada 1,146 2,577 0.6 1.3 Cerro Moro(2) 1,395 1,395 27.4 27.4 Huaron 886 1,808 0.3 0.5 San Vicente(1) 736 1,461 - 0.1 Manantial Espejo - 191 - 1.7 Jacobina(2) - - 48.3 48.3 El Peñon(2) 1,042 1,042
Slide 7: Cash Costs and AISC
7 Cash Costs(1) AISC(1) 1. Cash Costs and AISC are non-GAAP measures. Please refer ($ per ounce) ($ per ounce) to the “Alternative Performance (Non-GAAP) Measures” section of the MD&A for the period ended June 30, 2023, Q2 2023 H1 2023 Q2 2023 H1 2023 for a detailed description of these measures and
Slide 8: Realized Metal Prices and Quantities of Metal Sold
8 Realized Metal Prices(1) Quantities of Metal Sold(2) Q2 2023 H1 2023 Q2 2023 H1 2023 Silver 23.45 23.15 5,719 10,165 Gold 1,975 1,947 246.4 379.8 Zinc 2,515 2,835 10.0 20.8 Lead 2,123 2,144 4.0 9.3 Copper 8,550 8,701 1.2 2.1 1. Metal price stated as dollars per ounce for silver and gold, and dolla
Slide 9: Payable Metal Produced, Sold and Inventory Build
9 Payable Metal Quantities of Inventory Mine/Product Produced(1,2) Metal Sold build/(draw) Silver Gold Silver (thousand ounces) Inventory build of 93koz Inventory build of 1.2koz La Colorada 1,076 972 104 Cerro Moro 1,395 1,160 236 Huaron 777 818 (41) San Vicente 711 755 (43) Manantial Espejo - 175
Slide 10: Q2 2023 Cash Flow Performance
10 Sustaining Cash Flow Performance Growth, Business Development, and Other $800 $8.3 $7.0 $197.8 $700 ($86.6) $600 $552.7 ($50.5) $513.1 ($36.4) $500 ($51.3) ($39.3) $409.2 Millions $400 ($25.3) ($12.6) ($9.5) ($5.5) $300 $200 $100 $0 (1) Cash and Adjusted Net changes in Net other Sustaining Net in
Slide 11: H1 2023 Cash Flow Performance
11 Sustaining Cash Flow Performance Growth, Business Development, and Other $700 $59.4 $600 $105.3 ($100.0) $500 $6.5 $259.5 $16.3 $313.4 ($50.8) $409.2 ($45.4) $400 ($24.4) ($9.5) ($5.7) Millions ($119.1) $300 ($81.2) $220.8 $200 ($57.5) $142.3 $100 $0 Cash and Adjusted Net changes in Net other (e.
Slide 12: Q2 2023 Basic Adjusted Earnings of $0.04/share
12 Q2 2023 Basic Adjusted Earnings of $0.04/share (1) (1) Adjusted loss and basic adjusted loss per share are non-GAAP financial measures. Please refer to the section “Alternative Performance (Non-GAAP) Measures” of the MD&A for the period ended June 30, 2023, for a detailed description of these mea
Slide 13: 2023 Guidance by Mine
13 Silver Production Gold Production Cash Costs AISC (million ounces) (thousand ounces) ($ per ounce)(1) ($ per ounce) (1) Silver Segment: La Colorada (Mexico) 5.5 – 5.9 3 14.00 – 15.50 17.00 – 18.50 Cerro Moro (Argentina)(2) 3.6 – 3.9 77 – 85 5.50 – 8.80 11.00 – 14.50 Huaron (Peru) 3.6 – 3.8 – 5.80
Slide 14: Quarterly and FY 2023 Guidance
14 FY 2023 Q1 Actual Q2 Actual Q2 Guidance Q3 Guidance(1) Q4 Guidance(1) Guidance(1) Silver Production (million ounces) 3.89 6.02 5.40 - 6.00 5.70 - 6.40 6.00 - 6.70 21.00 - 23.00 Gold Production (thousand ounces) 122.7 248.2 225.0 - 255.0 248.0 - 283.0 274.0 - 309.0 870.0 - 970.0 Silver Segment Cas
Slide 15: 2023 Capital Expenditures Guidance
15 Expenditures ($ millions) Sustaining Capital Project capital invested to advance La Colorada (Mexico) 15.0 – 16.0 strategic goals: Cerro Moro (Argentina) 20.0 – 21.0 Huaron (Peru) 17.0 – 18.0 • Continued exploration and in- San Vicente (Bolivia)(1) 3.5 – 4.5 fill drilling on the La Colorada Jacob
Slide 16: Total Cash and Available Credit
16 //Prudent balance sheet management reduces $470.0M $409.2M risk, improves long-term shareholder returns Revolving TOTAL CASH AND Cash + Credit Facility AVAILABLE investments CREDIT Balance sheet management $879.2M (3) √ Total debt(2) of $1,135.3M related to senior notes, the SL- Credit Facility,
Slide 17: To join the queue
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Slide 18: Audio and presentation archive
The audio and presentation archive of this conference call and webcast will be accessible on our website at: https://www.panamericansilver.com/investors/events-and-presentations/