PHILEX Mining Corp. returned to profit in the second quarter (Q2) of 2026 after incurring a net loss in the first three months of the year, aided by higher gold and copper prices and as Padcal mine operations normalized following the completion of rehabilitation works.
In a disclosure on Wednesday, the company reported a consolidated net income of P392 million for the quarter, rebounding from P592-million net loss posted in the preceding three months and more than double the P171-million net income recorded a year earlier.
Core net income for May to June 2026 likewise rebounded to P492 million from a net loss of P281 million in the preceding quarter and was significantly higher than the P65 million posted in the second quarter of 2025.
The company attributed the turnaround to the completion of the rehabilitation of Padcal’s secondary and tertiary crushing plant, which restored mill operations, as well as sustained high realized prices for gold and copper.
Net revenues climbed to P2.423 billion, more than twice the P1.078 billion recorded in the first three months of the year and 30 percent higher than the P1.860 billion posted in the same period last year.
Earnings before interest, taxes, depreciation and amortization (Ebitda) reached P974 million, recovering from a negative P129 million in the previous quarter and improving from a positive Ebitda of P325 million a year earlier.
Operational performance also improved as Padcal milled 1.56 million tonnes of ore in the second quarter, up 68 percent from 931,000 tonnes in the January-to-March period.
Gold production increased 80 percent quarter on quarter to 4,011 ounces, while copper output rose 81 percent to 3.388 million pounds.
Realized gold prices averaged $4,136 per ounce during the quarter, lower than the record $4,960 per ounce in the first quarter but still 65 percent higher than the $2,504 per ounce recorded a year ago.
Copper prices also improved to an average of $6.23 per pound from $4.53 in the previous quarter and $4.09 in the second quarter of 2025.
For the first half of 2026, however, Philex’s reported net loss stood at P200 million, reversing the P301-million net income recorded a year earlier.
The company said this was primarily due to unrealized foreign exchange losses from the revaluation of its dollar-denominated loans, particularly those related to the Silangan Project, given the weaker peso in the first six months.
Excluding the noncash foreign exchange losses, core net income for the first six months rose 56 percent to P212 million from P136 million a year earlier, while Ebitda increased 29 percent to P845 million.
Looking ahead, Philex said it expected Padcal’s operational gains to continue for the rest of the year, supported by favorable gold and copper prices.
It added that development of the Silangan Project remained on track, with contractor EEI Corp. progressively turning over completed sections of the process plant to Silangan Mindanao Mining Co. Inc. for commissioning.
Commissioning works by Australian engineering firm Ausenco Pty. Ltd. were also on schedule for completion in the fourth quarter of 2026, it said.
Philex Mining shares on Wednesday slipped P0.17, or 2.04 percent, to close at P8.18 each.
