Gold Resource (GORO) Q2 Sales Drop 57%
Gold Resource (NYSEMKT:GORO), a precious metals producer focused on the Don David Gold Mine in Mexico and the Back Forty Project in Michigan, released its second quarter results on August 5, 2025. The company posted a net loss of $11.5 million, or $0.09 per share (GAAP), as operational difficulties sharply reduced sales volume and production, while costs escalated to unsustainable levels. No Wall Street earnings estimates were available for comparison, and the release did not disclose revenue figures, which is unusual for an earnings report. Overall, the period was marked by continued operational struggles, explicit warnings about future viability, and ongoing efforts to stabilize production through equipment replacement and mine development.
Gold Resource produces gold, silver, and base metals and has two main assets: the Don David Gold Mine (DDGM) in Oaxaca, Mexico, which is currently in production, and the Back Forty Project in Michigan, which is in the permitting and early development phase. The Mexican mine accounts for all current production and revenue and faces significant operational hurdles, while the Back Forty Project is still in the permitting and early development phase.
The company’s recent efforts have concentrated on stabilizing production at DDGM by addressing equipment shortages, optimizing existing mining methods, and advancing underground development to access new ore zones. Success at these activities is crucial because the mine’s low output and high costs have driven net losses, and further progress is needed for Gold Resource to return to sustainable operations.
Source Fool.com
