Jaguar Mining faces losses amid reduced gold production

Jaguar Mining Inc., based in Canada, published its financial results for the first quarter of 2025, revealing a significant decline in gold production solely from its Pilar mine. In contrast to the previous year's first quarter, when Jaguar operated both the Pilar and Turmalina mines, production dropped from 16,177 ounces to just 9,924 ounces. This decline was attributed to a 54% reduction in ore tonnes processed, despite a 32% increase in the average head grade. The company reported a revenue of $27.3 million in Q1 2025, down from $32.6 million in the same quarter of 2024, primarily due to the absence of contributions from the now inactive Turmalina mine. Coupled with reduced operating costs of $10.5 million compared to $18.3 million a year earlier, the company faced a loss of $1,611,000 in net income, reversing the prior year's profit of approximately $2,827,000. As of March 31, 2025, Jaguar's cash position stood at $40.3 million, a decrease from the $46.4 million reported at the end of December 2024. Various non-GAAP measures indicated ongoing challenges, including negative free cash flow of $(3.2) million. The company anticipates ongoing difficulties as it navigates its operational adjustments, focusing on recovering from recent setbacks, including impacts from a prior suspension at the MTL complex due to unforeseen complications. Consequently, these changes signal a critical period for Jaguar Mining as it seeks to stabilize operations and regain profitability in a fluctuating market.