Philex Mining Corp. remained in the red in the first half of the year despite a sharp rebound in second-quarter earnings, as unrealized foreign exchange losses offset stronger mining operations.

The listed miner on Wednesday reported a net loss of P200 million from January to June, reversing a P301 million net income in the same period of 2025. 

The company attributed the loss mainly to unrealized foreign exchange losses from the restatement of dollar-denominated loans at both Philex and the Silangan Project.

The weak first-half result came despite a strong second-quarter recovery. 

Philex posted a consolidated net income of P392 million, reversing a P592 million net loss in the first quarter and more than doubling the P171 million earned a year earlier.

The turnaround was driven by the normalization of operations at the Padcal Mill following the completion of the rehabilitation of its Secondary and Tertiary Crushing Plant, along with sustained high realized prices for gold and copper.

Net revenues more than doubled quarter-on-quarter to P2.423 billion from P1.078 billion and increased 30 percent from P1.860 billion a year earlier. EBITDA also recovered to P974 million from a negative P129 million in the first quarter and P325 million in the second quarter of 2025.

Padcal milled 1.56 million tonnes during the quarter, up 68 percent from the previous quarter. Gold production rose 80 percent to 4,011 ounces, while copper output increased 81 percent to 3.388 million pounds.

For the first half, core net income rose 56 percent to P212 million from P136 million a year earlier, while EBITDA increased 29 percent to P845 million from P654 million, reflecting stronger underlying operations.

Looking ahead, Philex expects the operational momentum at Padcal to continue through the rest of 2026 following the completion of the crushing plant rehabilitation, supported by sustained higher gold and copper prices.

Meanwhile, work on the Silangan Project continues to advance, with contractor EEI Corp. progressively turning over completed sections of the process plant for commissioning. The company is targeting completion of the process plant in the fourth quarter of the year.