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Highlights

  • Canaccord Genuity analyst Timothy Huff has reaffirmed a Buy rating on Hochschild Mining PLC with a target price of AUD 7.57 (GBp 361), reflecting a 31.29% upside from the current share price.

  • Hochschild delivered a 33% increase in revenue to $520 million and a 27% rise in adjusted EBITDA to $224.5 million for H1 2025.

  • The company declared an interim dividend of $1.0 cent per share, supported by improved profitability and cash generation.

Hochschild Mining PLC (LSE:HOC), a leading precious metals producer with operations across the Americas, has received continued support from equity research firm Canaccord Genuity. Analyst Timothy Huff has reaffirmed a Buy rating on the company’s shares, setting a price target of AUD 7.57 (GBp 361). This represents a potential 31.29% increase from the current market price of GBp 278.

The endorsement comes on the back of Hochschild’s recently published interim results for the six months ended 30 June 2025, where the company posted top-line and earnings growth.

Financial and Operational Performance

Hochschild reported revenue of $520.0 million, marking a 33% increase compared to $391.7 million in H1 2024. Adjusted EBITDA rose by 27% to $224.5 million, while profit before income tax (pre-exceptional) increased to $109.3 million, from $83.1 million a year earlier.

Post-exceptional profit before tax stood at $140.1 million, more than double the H1 2024 figure of $69.4 million. Basic earnings per share also advanced, with pre-exceptional EPS at $0.12 and post-exceptional EPS at $0.18, compared to $0.10 and $0.08 respectively in the prior year.

The company ended the half-year with $109.8 million in cash and cash equivalents, alongside a reduced net debt position of $202.3 million (down from $215.6 million at 31 December 2024). The Board declared an interim dividend of $1.0 cent per share, amounting to a payout of $5.1 million.

Production for H1 2025 totalled 161,597 gold equivalent ounces (13.4 million silver equivalent ounces), an uplift from 152,792 gold equivalent ounces a year earlier. However, the company’s attributable all-in sustaining costs (AISC) increased to $1,914 per gold equivalent ounce, up from $1,432 in H1 2024.

Outlook and Guidance

Hochschild provided a revised outlook for the full year 2025. Attributable production is now expected in the range of 291,000–319,000 gold equivalent ounces, down from the earlier target of 350,000–378,000 ounces. The company has also updated its cost guidance, with AISC anticipated to be $1,980–$2,080 per gold equivalent ounce, compared to the prior range of $1,587–$1,687.

Despite this revised guidance, Canaccord Genuity’s Timothy Huff maintains a positive outlook.

Strategic and Sustainability Updates

Operationally, the company highlighted progress at the Mara Rosa mine in Brazil, with processing plant repairs underway and mining activities continuing as planned. Development work also continues at the Monte Do Carmo project, while exploration drilling at Inmaculada and Mara Rosa has returned encouraging early results.

On the sustainability front, Hochschild reported improvements across key ESG indicators, including a reduction in water consumption and waste generation. The company also recently joined the United Nations Global Compact.