Robust Quarterly Revenue and Strong Cash Generation Fund Accelerated Mine Investment While Increasing Cash Balance
VANCOUVER, BC, May 26, 2026 /CNW/ – Luca Mining Corp. (“Luca” or the “Company”) (TSXV:LUCA) (OTCQX:LUCMF) (Frankfurt: Z68) is pleased to report operational and financial results for the first quarter ended March 31, 2026. The Company delivered another strong financial quarter, achieving revenue of $57.6 million, net earnings of $12.6 million, and Adjusted EBITDA of $25.4 million, supported by continued contributions from both operations, improved operating leverage, and a favourable commodity price environment. The quarter demonstrated the Company’s growing financial strength, with significant self-funded investments in sustaining capital, underground development, infrastructure and exploration programs designed to improve production flexibility, long-term operating performance and long-term value creation.
The Company generated $21.6 million in operating cash flow, increased its cash balance by $10.8 million to $36.4 million, and funded $10.9 million in sustaining and exploration capital expenditures, reflecting increasing cash generation capability across both operations.
Q1 2026 Highlights
- Strengthened balance sheet and liquidity position: Cash increased to $36.4 million at March 31, 2026, compared to $25.5 million at December 31, 2025 (+43%), reflecting strong operating cash generation and improved profitability during the quarter. Despite increased investment in sustaining capital, the Company generated free cash flow before working capital changes of $12.9 million in Q1 2026, contributing to a cash increase of approximately $10.8 million during the period.
- Revenue and Earnings: Revenue increased 40% to $57.6 million, while EBITDA increased 160% to $19.7 million and adjusted EBITDA increased 99% to $25.4 million, driven by significantly stronger realized metal prices and continued production contributions from both operations. Net earnings increased to $12.6 million compared to $4.5 million in Q1 2025.
- Significant margin expansion: Mine operating earnings increased 67% to $22.3 million, reflecting stronger realized metal prices and improved operating leverage despite temporary metallurgical variability.
- Strong operating cash flow generation: Operating cash flow of $21.6 million fully funded $10.9 million in sustaining and exploration capital expenditures during the quarter while simultaneously increasing the Company’s cash balance, demonstrating the underlying cash generation capability of both operations.
- Strengthening of technical and operational leadership: During the quarter, the Company strengthened its executive and technical leadership team to support ongoing mine optimization and growth initiatives across both operations. Luca appointed Nick Shakesby as Chief Operating Officer and added Dr. Jose Hernandez as Vice President, Metallurgy and Process Engineering, while Ramón Mendoza transitioned to Chief Technical Officer to focus on growth initiatives and the Campo Morado Expansion project. The expanded technical leadership team is expected to support operational optimization, metallurgical improvements, production reliability, cost management, and long-term operational growth initiatives at both Campo Morado and Tahuehueto.
- Investment supporting future production stability: Underground development, mine preparation and infrastructure initiatives advanced at both operations to improve production flexibility, mine sequencing and operational reliability.
Production volumes in Q1 2026 reflect the Company’s continued emphasis on underground development and mine sequencing activities at both operations, with near-term production temporarily impacted in exchange for improved operational flexibility, higher-grade access, and long-term production reliability.
Dan Barnholden, Chief Executive Officer, commented, “Q1 2026 reflects continued progress in building a stronger, more resilient operating platform at Luca. We delivered robust quarterly revenue, expanded margins, increased cash by over $10 million and continued investing meaningfully into underground development, infrastructure and exploration across both operations. Importantly, these investments were funded through operating cash flow generation while maintaining financial discipline. As we move through 2026, our focus remains on improving operational consistency, advancing mine optimization initiatives and positioning both operations for sustainable long-term growth.”