The Canadian miner, with six operating mines in Mexico, Peru, Argentina and Bolivia, reported 60% improved adjusted net earnings for the three months ended June 30, at $35.43 million, or 23c a share, which was comfortably higher than the average analyst forecast for adjusted earnings of 14c a share.

Net earnings attributable to shareholders were marginally higher year-over-year at $36.7 million, or 24c a share.

Revenues were 7.5% higher year-on-year at $216.5 million.

PAAS said production for the quarter was in line with expectations. Silver output remained flat on the year-earlier period at 6.3 million ounces, but gold output jumped 42% to 53,000 oz.

Zinc, lead and copper output were 14,900 tonnes, 5,100t and 2,000t, respectively. The company maintained its 2018 production guidance for all these metals, except for copper, which has been revised to a range of 9,000 to 10,400t, from 12,000t to 12,500t previously.

PAAS reported record low cash costs per payable ounce of silver, net of by-product credits of $0.92/oz. This reflected higher throughput, higher by-product credits and lower treatment and refining charges. The all-in sustaining cost per silver ounce sold (AISCSOS) were $6.45. Management has lowered its guidance for cash costs to a range of $2.80 to $3.80/oz, and AISCSOS to a range of $8.50 to $10/oz.

At the end of the quarter, PAAS had a cash and short-term investment balance of $250.2 million, up $25.4 million from the first quarter.

The $2.5 billion company declared a quarterly cash dividend of US$35c a share.