Aya Gold & Silver Reports Strong Q3-2026 Results on Record Production and Lower Cash Costs

Aya reports record Q3 revenue, profit, and production with sharply lower costs.

What the company is saying

Aya Gold & Silver frames Q3-2026 as a record quarter, emphasizing a 90% year-over-year revenue increase to $103M and a 182% jump in net income to $35M. The company highlights operational scale, citing 2.0 Moz AgEq produced (up 51% YoY), record processing rates at Zgounder, and sharply reduced consolidated cash costs of $15.51/oz AgEq (down 25% YoY). Management attributes these gains to higher realized prices, increased production, and operational efficiencies, particularly at Zgounder and Boumadine. Aya also stresses its expanded Moroccan exploration footprint—now over 1,200 km²—and the achievement of Boumadine's 2026 infill drilling target ahead of schedule. The narrative is confident, with CEO Benoit La Salle stating that optimization initiatives are delivering scale, lower costs, and strong cash flow, and that guidance for Zgounder production has been raised. The company further points to a robust pipeline, referencing the Boumadine PEA (after-tax NPV $3.5B, 93% IRR, 14-year mine life) and a strategic asset swap for a 19.11% stake in Sama Resources.

What the data suggests

The disclosed numbers show a company in rapid operational and financial ascent. Q3-2026 revenue reached $103M, up 90% YoY, with net income at $35M and operating cash flow at $48M—both more than doubling YoY. Consolidated production hit 2.0 Moz AgEq, with Zgounder contributing 1.5 Moz Ag and Boumadine 0.5 Moz AgEq. Cash costs fell to $15.51/oz AgEq, a 25% YoY and 8% QoQ reduction, while realized prices rose to $69.32/oz at Zgounder and $34.72/oz at Boumadine. Cash and cash equivalents increased to $184M, excluding $16M in restricted cash, and silver inventories at Zgounder grew to 383,757 oz. The company exceeded its Boumadine infill drilling target (181,685 m vs. 180,000 m) and expanded its Moroccan exploration ground by about 50%. The Boumadine PEA outlines strong economics, but is preliminary and includes inferred resources. Guidance for 2026 consolidated production was raised to 6.6–6.8 Moz AgEq, with Zgounder guidance increased to 5.6–5.8 Moz. All key claims are supported by detailed financial and operational disclosures, with management attributing improvements to optimization and higher prices.

Analysis

The announcement's tone is positive but proportionate to the substantial realised progress disclosed. The majority of key claims are supported by hard financial and operational data: revenue, net income, operating cash flow, production, and cash costs all show strong year-over-year improvements, with detailed breakdowns by asset. Forward-looking statements (such as 2026 production guidance and Boumadine PEA economics) are clearly separated from realised results and are not used to inflate the current quarter's achievements. Capital outlays for exploration and project development are disclosed, but these are modest relative to the company's cash position and are paired with immediate operational and financial benefits. There is no evidence of narrative inflation or overstatement; the language is factual and supported by the data. The gap between narrative and evidence is minimal.

Risk flags

• ●The Boumadine PEA is preliminary and includes inferred resources, which are too speculative to be considered reserves; there is no certainty the outlined economics (NPV $3.5B, 93% IRR) will be realized. This introduces material project risk if future drilling or feasibility work fails to convert resources to reserves.
• ●Aya's rapid expansion in Morocco—both in exploration ground and operational scale—raises execution risk. Integrating new assets, managing multiple exploration and development programs, and maintaining cost discipline could strain management and operational capacity.
• ●The Boumadine pyrite reclaim operation is of limited duration (20–24 months from November 2025), so its contribution to revenue and cash flow is temporary. The company will need to replace this source with new production to sustain current financial momentum.
• ●General and administrative expenses increased due to litigation and U.S. listing costs, which could pressure margins if legal or regulatory challenges persist or escalate.
• ●Raising production guidance increases expectations for 2026, but any operational setbacks at Zgounder or delays in project development could result in missed targets and negative market reaction.

Bottom line

Aya Gold & Silver delivered a record Q3, with revenue, profit, and production all surging and costs falling sharply. The company is generating strong operating cash flow ($48M in Q3) and has a robust cash position ($184M), supporting ongoing exploration and development. The Boumadine PEA points to significant future value, but its economics are not yet proven and depend on further drilling and feasibility work. The temporary nature of Boumadine's pyrite reclaim revenue and the scale of Aya's Moroccan expansion introduce execution and project risk. Management's narrative is credible, with realized results matching or exceeding guidance and all key claims backed by detailed disclosures. Investors should focus on sustained cost control, delivery of 2026 production targets, and progress in converting Boumadine resources to reserves. The most important takeaway is that Aya is currently executing well, but future value depends on successful project delivery and managing the risks of rapid growth.

Announcement summary

(TSX:AYA; NASDAQ:AYA) Aya Gold & Silver Inc. reported financial and operational results for Q3-2026, with all amounts in U.S. dollars. Revenue for the quarter was $103M, up 90% year-over-year, on sales of 1.7 million silver equivalent ounces, reflecting both higher average net realized prices and higher ounces sold. The average net realized price was $69.32 per Ag oz at Zgounder, $34.72 per AgEq oz at the Boumadine pyrite reclaim operation, and $59.50/oz on a consolidated basis, up 49% YoY. Net income was $35M, up 182% YoY, and operating cash flow was $48M, up 115% YoY. Cash and cash equivalents at quarter-end were $184M, compared to $136M at December 31, 2025, excluding $16M of restricted cash. Silver inventory from Zgounder was 383,757 oz at quarter-end, up from 212,516 oz at the end of Q2-2026. Consolidated production reached 2.0 Moz AgEq, up 51% YoY, including 1.5 Moz Ag from Zgounder and 0.5 Moz AgEq from Boumadine. Cash costs were $17.53/oz Ag sold at Zgounder (down 16% YoY), $10.42/oz AgEq at Boumadine, and $15.51/oz AgEq on a consolidated basis (down 25% YoY and 8% QoQ). Zgounder achieved a record processing rate averaging 4,096 tpd, a 23% YoY and 5% QoQ increase, with combined mill recovery averaging 92.0%. The mining rate averaged 4,746 tpd. Production guidance for 2026 is 6.6–6.8 Moz AgEq consolidated, including 5.6–5.8 Moz from Zgounder, with the low end raised from prior guidance of 5.2–5.8 Moz. Full-year cash costs at Zgounder are expected to remain below $21.50/oz. Aya expanded its Morocco exploration footprint by about 50% to over 1,200 km², adding the Anti-Atlas and Tizi copper-silver portfolios. The 2026 infill drilling target at Boumadine was achieved ahead of year-end, with 181,685 m completed; full-year drilling is now expected to exceed plan. An updated Mineral Resource Estimate and Preliminary Economic Assessment for Boumadine outlined an after-tax NPV (5%) of $3.5B, a 93% after-tax IRR, and a 14-year mine life. General and administrative expenses increased due to higher professional fees related to litigation and U.S. listing costs. Net income attributable to Aya shareholders was $33.5M (basic EPS $0.23, diluted EPS $0.22). Aya generated $48M in operating cash flow in Q3, including $54M before changes in working capital. Exploration expenditures were $18M, focused on Boumadine infill drilling, and $6M was invested in Zgounder capital projects, including completion of the Zgounder Tailings Storage Facility. Underground development at Zgounder included completion of the Level 1825 exploration drift, with drilling from the drift beginning in early October 2026. At Boumadine, Q3-2026 material reclaimed contained 4,300 oz gold and 244,875 oz silver, representing 536,879 oz AgEq; 49,890 t of material was reclaimed and crushed, up 191% QoQ. The Boumadine pyrite stockpile reclamation is expected to last 20–24 months from November 19, 2025. Zgounder Q3-2026 ore mined was 436,632 t, average grade mined 143 g/t Ag, ore processed 376,863 t, average grade processed 146 g/t Ag, and silver produced 1,497,749 oz. Boumadine Q3-2026 pyrite reclaimed was 49,890 t, average grade processed 151 g/t Ag and 2.61 g/t Au, silver produced 244,875 oz, gold produced 4,300 oz, and silver equivalent produced 536,879 oz. Aya drilled 7,580 m at Zgounder in Q3-2026 (17,858 m YTD), and as of October 31, 2026, Boumadine drilling reached 181,685 m, exceeding the 180,000 m target. In August, Aya acquired a 259 km² exploration portfolio in the Anti-Atlas region, and on October 16, 2026, acquired a copper-silver portfolio covering 139 km² in the Tizi area, about 35 km west of Zgounder. On November 4, 2026, Aya entered a term sheet with Sama Resources Inc. for the proposed sale of its Azegour project and a non-exclusive, perpetual license to certain geological and exploration data, in exchange for an equity interest of approximately 19.11% in Sama. The scientific and technical information was reviewed and approved by David Lalonde, B.Sc., P.Geo., Executive Vice-President, Exploration, and Raphaël Beaudoin, P.Eng., Executive Vice-President, Operations.

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