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Segment Reporting
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
SEGMENT REPORTING SEGMENT REPORTING
The Company’s operating segments at December 31, 2024 included the Palmarejo, Rochester, Kensington and Wharf mines and Silvertip exploration project. Following consummation of the acquisition of SilverCrest Metals, Inc. on February 14, 2025, the Company will add the Las Chispas operating segment. Except for the Silvertip exploration project, all operating segments are engaged in the discovery, mining, and production of gold and/or silver. The Silvertip exploration project is engaged in the discovery of silver, zinc, lead, and other related metals. “Other” includes certain mineral interests, strategic equity investments, corporate office, elimination of intersegment transactions, and other items necessary to reconcile to consolidated amounts.
The Company’s Chief Operating Decision Maker (“CODM”), comprised of Mitchell J. Krebs, Chairman, President and Chief Executive Officer, Thomas S. Whelan, Chief Financial Officer, and Michael Routledge, Chief Operating Officer, evaluates performance and allocates resources for all of the Company’s reportable segments based on Income (loss) from operations. The CODM uses segment Income (loss) from operations to allocate resources such as corporate employees, and financial or capital resources for each segment during the annual budget and forecasting processes. The CODM considers budget-to-actual variances on a monthly basis using the segment Income (loss) from operations measure when making decisions about allocating capital and personnel to the segments. The accounting policies of the reportable segments are the same as those described in Note 2 -- Summary of Significant Accounting Policies.
Financial information relating to the Company’s segments is as follows (in thousands):
Year Ended December 31, 2024PalmarejoRochesterKensingtonWharfSilvertip OtherTotal
Revenue
Gold sales$190,520 $91,541 $225,200 $227,600 $— $— $734,861 
Silver sales188,540 124,271 (71)6,405 — — 319,145 
Metal sales379,060 215,812 225,129 234,005 — — 1,054,006 
Costs and Expenses
Costs applicable to sales(1)
195,458 154,611 157,757 98,366 — — 606,192 
Amortization44,979 41,293 28,201 6,487 3,235 779 124,974 
Exploration13,230 5,070 5,494 6,192 27,332 2,340 59,658 
Other operating expenses(2)
8,665 12,963 9,753 4,519 9,923 53,177 99,000 
Costs and expenses262,332 213,937 201,205 115,564 40,490 56,296 889,824 
Income (loss) from operations116,728 1,875 23,924 118,441 (40,490)(56,296)164,182 
Other income (expense)
Gain on debt extinguishment— — — — — 417 417 
Fair value adjustments, net— — — — — — — 
Interest expense, net324 (5,081)(1,681)(544)(11)(44,283)(51,276)
Other, net(3)
7,074 (363)(312)(509)(43)7,180 13,027 
Income (loss) before income and mining taxes124,126 (3,569)21,931 117,388 (40,544)(92,982)126,350 
Income and mining tax (expense) benefit(45,765)(1,778)(576)(10,679)— (8,652)(67,450)
Net Income (loss) $78,361 $(5,347)$21,355 $106,709 $(40,544)$(101,634)$58,900 
Segment assets(4)
$316,232 $1,227,745 $223,525 $119,407 $219,613 $55,359 $2,161,881 
Capital expenditures$30,621 $72,676 $68,656 $7,175 $3,597 $463 $183,188 
(1) Excludes amortization.
(2) Other operating expenses includes General and administrative and Pre-development, reclamation, and other
(3) See Note 14 -- Additional Comprehensive Income (Loss) Detail for additional detail.
(4) Segment assets include receivables, prepaids, inventories, property, plant and equipment, and mineral interests.
Year Ended December 31, 2023PalmarejoRochesterKensingtonWharfSilvertipOtherTotal
Revenue
Gold sales$155,036 $75,571 $162,010 $183,060 $— $— $575,677 
Silver sales158,171 80,451 468 6,439 — — 245,529 
Metal sales313,207 156,022 162,478 189,499 — — 821,206 
Costs and Expenses
Costs applicable to sales(1)
194,309 171,271 152,659 114,657 — — 632,896 
Amortization35,709 26,392 25,905 6,694 4,018 1,104 99,822 
Exploration7,840 1,221 7,900 — 12,251 1,750 30,962 
Other operating expenses(2)
8,064 26,005 3,440 4,157 17,104 37,471 96,241 
Costs and expenses245,922 224,889 189,904 125,508 33,373 40,325 859,921 
Income (loss) from operations67,285 (68,867)(27,426)63,991 (33,373)(40,325)(38,715)
Other income (expense)
Gain on debt extinguishment— — — — — 3,437 3,437 
Fair value adjustments, net— — — — — 3,384 3,384 
Interest expense, net844 (1,603)(1,744)(329)(63)(26,204)(29,099)
Other, net(3)
4,590 (293)(311)(396)(129)(10,924)(7,463)
Income (loss) before income and mining taxes72,719 (70,763)(29,481)63,266 (33,565)(70,632)(68,456)
Income and mining tax (expense) benefit(26,016)(816)— (7,047)— (1,277)(35,156)
Net Income (loss)$46,703 $(71,579)$(29,481)$56,219 $(33,565)$(71,909)$(103,612)
Segment assets(4)
$312,879 $1,081,442 $171,602 $102,245 $215,545 $59,324 $1,943,037 
Capital expenditures$41,766 $263,401 $53,316 $2,472 $2,867 $795 $364,617 
(1) Excludes amortization.
(2) Other operating expenses includes General and administrative and Pre-development, reclamation, and other
(3) See Note 14 -- Additional Comprehensive Income (Loss) Detail for additional detail.
(4) Segment assets include receivables, prepaids, inventories, property, plant and equipment, and mineral interests.
Year Ended December 31, 2022PalmarejoRochesterKensingtonWharfSilvertip OtherTotal
Revenue
Gold sales$157,595 $64,460 $201,859 $148,963 $— $— $572,877 
Silver sales145,839 65,203 634 1,083 — — 212,759 
Metal sales303,434 129,663 202,493 150,046 — — 785,636 
Costs and Expenses
Costs applicable to sales(1)
182,576 165,166 155,725 103,063 — — 606,530 
Amortization35,432 22,626 39,032 8,247 4,912 1,377 111,626 
Exploration6,605 4,627 6,637 — 4,628 4,127 26,624 
Other operating expenses(2)
4,372 7,540 1,685 1,379 22,322 42,809 80,107 
Costs and expenses228,985 199,959 203,079 112,689 31,862 48,313 824,887 
Income (loss) from operations74,449 (70,296)(586)37,357 (31,862)(48,313)(39,251)
Other income (expense)
Fair value adjustments, net— — — — — (66,668)(66,668)
Interest expense, net(12)(810)(1,446)(66)(176)(21,351)(23,861)
Other, net(3)
3,204 (306)(206)(62)(354)64,055 66,331 
Income (loss) before income and mining taxes77,641 (71,412)(2,238)37,229 (32,392)(72,277)(63,449)
Income and mining tax (expense) benefit(28,771)876 127 (2,868)— 15,978 (14,658)
Net Income (loss) $48,870 $(70,536)$(2,111)$34,361 $(32,392)$(56,299)$(78,107)
Segment assets(4)
$295,715 $809,116 $148,516 $105,209 $244,151 $67,275 $1,669,982 
Capital expenditures$42,648 $246,360 $31,456 $3,138 $24,797 $3,955 $352,354 
(1) Excludes amortization.
(2) Other operating expenses includes General and administrative and Pre-development, reclamation, and other
(3) See Note 14 -- Additional Comprehensive Income (Loss) Detail for additional detail.
(4) Segment assets include receivables, prepaids, inventories, property, plant and equipment, and mineral interests.
Assets December 31, 2024December 31, 2023
Total assets for reportable segments$2,161,881 $1,943,037 
Cash and cash equivalents55,087 61,633 
Other assets84,779 76,178 
Total consolidated assets$2,301,747 $2,080,848 
Geographic Information
Long-Lived Assets December 31, 2024December 31, 2023
United States$1,312,976 $1,201,988 
Mexico267,144 256,906 
Canada237,263 229,242 
Other233 152 
Total$1,817,616 $1,688,288 
RevenueYear ended December 31,
202420232022
United States$674,946 $507,999 $482,202 
Mexico379,060 313,207 303,434 
Total$1,054,006 $821,206 $785,636 
The Company’s doré, as well as the electrolytic cathodic sludge produced by the Wharf mine, is refined into gold and silver bullion according to benchmark standards set by the London Bullion Market Association, which regulates the acceptable requirements for bullion traded in the London precious metals markets. The Company then sells its gold and silver bullion to multi-national banks, bullion trading houses, and refiners across the globe. The Company had seven trading counterparties at December 31, 2024. The Company's sales of doré and electrolytic cathodic sludge product produced by the Palmarejo, Rochester, and Wharf mines amounted to approximately 79%, 80%, and 74%, of total metal sales for the years ended December 31, 2024, 2023, and 2022, respectively.
The Company’s gold concentrate product from the Kensington mine is sold under a long-term offtake agreement and is shipped to geographically diverse third-party smelters who are responsible for arranging the smelting of the concentrate. The Company’s sales of concentrate produced by the Kensington amounted to approximately 21%, 20%, and 26% of total metal sales for the years ended December 31, 2024, 2023, and 2022, respectively.
The Company believes that the loss of any one smelter, refiner, trader or third-party customer would not have a material adverse effect on the Company due to the liquidity of the markets and current availability of alternative trading counterparties.
The following table indicates customers that represent 10% or more of total sales of metal for at least one of the years ended December 31, 2024, 2023, and 2022 (in millions):
Year ended December 31,
Customer2024202302022Segments reporting revenue
Bank of Montreal$445.6 $367.2 $341.5 Palmarejo, Rochester, Wharf
Ocean Partners$484.5 $346.2 $168.9 Palmarejo, Rochester, Kensington, Wharf
Asahi$104.9 $63.7 $125.3 Palmarejo, Rochester, Kensington, Wharf