Shares of Fortuna Silver Mines (FSM) plummeted nearly 8% in pre-market trading on Thursday, following the release of the company's second-quarter 2025 earnings report that fell short of analyst expectations. The precious metals miner's results disappointed investors, triggering a significant sell-off.

Fortuna reported adjusted earnings per share of $0.14 for Q2, significantly below the consensus estimate of $0.21 from analysts. Revenue also missed the mark, coming in at $230.42 million, down 11.4% year-over-year and well below the expected $246 million. The company faced operational challenges, including higher costs and lower production at some of its mines. All-in sustaining costs (AISC) per gold equivalent ounce rose to $1,932 in Q2 2025, compared to $1,752 in the previous quarter, primarily due to higher cash costs, increased royalties from higher gold prices, and higher sustaining capital expenditures.

Despite the earnings miss and revenue decline, Fortuna maintained its full-year production guidance of 160,000 to 180,000 gold ounces for 2026. The company's CEO, Jorge A. Ganoza, emphasized Fortuna's strong liquidity position and its focus on growth opportunities, including the planned production expansion at the Séguéla Mine and advancing the Diamba Sud project in Senegal. However, investors appeared more concerned with the near-term challenges, as reflected in the significant pre-market stock price drop.