Hecla Reports Fourth Quarter and Full Year 2024 Results

February 13, 2025

Record revenues, Second highest silver reserves, Second highest silver production, Deleveraging continues

COEUR D’ALENE, Idaho— Hecla Mining Company (NYSE:HL) (“Hecla”, “we”, “our” or the “Company”) today announced fourth quarter and full year 2024 financial and operating results.

2024 HIGHLIGHTS

Financial Achievements:

• Generated record sales of $929.9 million.
• Reported net income applicable to common stockholders of $35.3 million, or $0.06 per share.
• Generated record Adjusted EBITDA of $337.9 million, continued deleveraging and reduced net debt, improved net leverage ratio* to 1.6x from 2.7x a year ago.¹
• Cash flow from operating activities was $218.3 million, an increase of $142.8 million over 2023 with strong free cash flow generation at Greens Creek and Lucky Friday.
• Greens Creek generated $186.5 million in cash flow from operations and $146.7 million in free cash flow.²
• Lucky Friday generated $131.4 million in cash flow from operations and $81.8 million in free cash flow (including $50 million in insurance receipts).²

Operational Excellence:

• Reported silver reserves of 240 million ounces, second highest in the Company’s 134-year history.
• Produced 16.2 million ounces of silver, second highest in the Company’s history.
• Produced 142 thousand ounces of gold, exceeding consolidated guidance.
• Achieved consolidated silver production and cost guidance.
• Set multiple records at Lucky Friday –
  • Highest tons of ore mined and milled in the mine’s 80-year history.
  • Highest zinc production of 13,513 tons.
  • Production of 4.9 million ounces of silver, highest since 2000.
• Keno Hill produced 2.8 million ounces of silver while increasing silver reserves by 17% to 64.3 million ounces.
• All-Injury Frequency Rate outperformed national average of mining companies by 6%.

*Net leverage ratio is calculated as current debt, long-term debt and finance leases less cash divided by trailing twelve-month adjusted EBITDA.

STRATEGIC PRIORITIES FOR 2025

• Continue to strengthen the balance sheet with a focus on highest risk-adjusted return projects and free cash flow generation.
• Advance Keno Hill’s permitting and investment in critical infrastructure to chart the path for sustained profitability.
• Optimize operating portfolio through strategic review of Casa Berardi.
• Evaluate extensive exploration portfolio for opportunities to generate shareholder value.
• Drive operational excellence through implementation of standardized enterprise systems and advanced analytics to optimize mine planning and cost management, driving sustained profitability and efficient capital allocation.

“In balancing our proud heritage with our refocused forward-looking vision, we are implementing a strategic shift that emphasizes sustainable profitable growth and operational excellence while continuing to focus on industry leading safety standards,” said Rob Krcmarov, President and CEO. “Our renewed focus on optimizing cash flow generation and return on capital investment will drive shareholder value, supported by four key pillars: stakeholder relationship management, capital discipline, technical innovation, and environmental stewardship. As part of this commitment to disciplined capital allocation, we have streamlined our dividend policy to eliminate the silver-linked component, enabling us to pursue significant growth opportunities, particularly at Keno Hill.”

Krcmarov continued, “As we advance into 2025, our key priorities include driving operational excellence through standardized systems and processes, improving our safety performance, evaluating strategic alternatives for Casa Berardi, and advancing Keno Hill’s permitting and infrastructure to achieve sustained profitability. We are optimizing our exploration portfolio to maximize returns, focusing on projects that offer the highest risk-adjusted returns and potential for strong free cash flow generation while upholding our commitment to responsible mining practices. With silver markets facing their fifth consecutive deficit year, driven by record industrial demand and growing safe-haven investment, Hecla’s position as the largest silver producer in the U.S. and Canada positions us well to capitalize on these favorable fundamentals.”

FINANCIAL AND OPERATIONAL OVERVIEW

In the following table and throughout this release, “total cost of sales” is comprised of cost of sales and other direct production costs and depreciation, depletion and amortization; “prior year” refers to 2023, and “prior quarter” refers to the third quarter of 2024.

In Thousands unless stated otherwise		4Q-2024				3Q-2024				2Q-2024				1Q-2024				4Q-2023				FY-2024				FY-2023
Financial Highlights
Sales		$	249,655			$	245,085			$	245,657			$	189,528			$	160,690			$	929,925			$	720,227
Total cost of sales		$	181,321			$	185,799			$	194,227			$	170,368			$	153,825			$	731,715			$	607,278
Gross profit		$	68,334			$	59,286			$	51,430			$	19,160			$	6,865			$	198,210			$	112,949
Net income (loss) applicable to common stockholders		$	11,786			$	1,623			$	27,732			$	(5,891	)		$	(43,073	)		$	35,250			$	(84,769	)
Basic income (loss) per common share (in dollars)		$	0.02			$	0.00			$	0.04			$	(0.01	)		$	(0.07	)		$	0.06			$	(0.14	)
Adjusted EBITDA1		$	86,558			$	88,859			$	90,895			$	71,597			$	32,907			$	337,909			$	208,799
Total Debt																						$	550,713			$	662,815
Net Debt to Adjusted EBITDA1																							1.6				2.7
Cash provided by operating activities		$	67,470			$	55,009			$	78,718			$	17,080			$	884			$	218,277			$	75,499
Capital Investment		$	(60,784	)		$	(55,699	)		$	(50,420	)		$	(47,589	)		$	(62,622	)		$	(214,492	)		$	(223,887	)
Free Cash Flow2		$	6,686			$	(690	)		$	28,298			$	(30,509	)		$	(61,738	)		$	3,785			$	(148,388	)
Production Summary
Silver ounces produced			3,874,344				3,645,004				4,458,484				4,192,098				2,935,631				16,169,930				14,342,863
Silver payable ounces sold			3,488,207				3,729,782				3,785,285				3,481,884				2,847,591				14,485,158				12,955,006
Gold ounces produced			35,727				32,280				37,324				36,592				37,168				141,923				151,259
Gold payable ounces sold			33,563				31,414				35,276				32,189				33,230				132,442				141,602
Cash Costs and AISC, each after by-product credits
Silver cash costs per ounce 3		$	(0.27	)		$	4.46			$	2.08			$	4.78			$	4.94			$	2.72			$	3.23
Silver AISC per ounce 4		$	11.51			$	15.29			$	12.54			$	13.10			$	17.48			$	13.06			$	11.76
Gold cash costs per ounce3		$	1,936			$	1,754			$	1,701			$	1,669			$	1,702			$	1,762			$	1,652
Gold AISC per ounce4		$	2,203			$	2,059			$	1,825			$	1,899			$	1,969			$	1,990			$	2,048
Realized Prices
Silver, $/ounce		$	30.19			$	29.43			$	29.77			$	24.77			$	23.47			$	28.58			$	23.33
Gold, $/ounce		$	2,656			$	2,522			$	2,338			$	2,094			$	1,998			$	2,403			$	1,939
Lead, $/pound		$	0.94			$	0.93			$	1.06			$	0.97			$	1.09			$	0.97			$	1.03
Zinc, $/pound		$	1.53			$	1.36			$	1.51			$	1.10			$	1.39			$	1.37			$	1.35

Sales increased to $929.9 million for the year through higher realized prices (silver, gold, and zinc) and higher sales volumes (silver, lead, and zinc), which were partially offset by lower gold sales volumes. Silver, lead, and zinc sales volumes increased primarily due to the resumption of operations at Lucky Friday on January 9, 2024, following the suspension of operations in August 2023 due to a fire in the underground secondary egress.

Gross profit for the year was $198.2 million, an increase of 75% over 2023. The increase is attributable to (i) Greens Creek gross profit increasing by $28.8 million due to higher realized prices for all metals except lead, which was partially offset by lower sales volumes of all metals except zinc, (ii) Lucky Friday gross profit increased by $26.6 million due to higher realized prices and volumes reflecting an almost full year of operation versus seven months in 2023, and (iii) at Casa Berardi, the gross loss decreased by $29.7 million reflecting the benefit of higher realized gold prices which offset lower gold sales volumes.

Net income applicable to common stockholders was $35.3 million compared to a prior year loss of $84.8 million. The improvement over the prior year was primarily related to:

• Collection of $50 million of Lucky Friday insurance proceeds included in other operating income.
• Ramp-up and suspension costs decreased by $32.9 million, reflecting the impact of Lucky Friday returning to full production in 2024.
• A foreign exchange gain of $7.6 million versus a loss of $3.8 million, reflecting the impact of the U.S. dollar appreciation compared to the Canadian dollar.

Partly offset by:

• A non-cash write-down of $14.6 million, $13.9 million of which was related to the remote vein mine (“RVM”). The RVM was determined to be unnecessary due to the success of the Underhand Closed Bench mining method at Lucky Friday and the vendor decided to terminate the program and exit that line of business.
• An increase in income and mining tax provision of $29.2 million, reflecting higher taxable income realized by our US tax group while unable to recognize losses in Canada.

Consolidated silver total cost of sales in 2024 was $487.6 million, an increase of 28% from the prior year, primarily due to the resumption of production at Lucky Friday in January, higher labor and maintenance costs at Greens Creek, and additional costs allocated to cost of sales at Keno Hill due to higher revenues as a result of increased production.

Cash costs and AISC per silver ounce, each after by-product credits, were $2.72 and $13.06, respectively, and within guidance. Cash costs decreased primarily due to lower treatment charges, higher by-product credits (due to increased production and realized prices) and higher silver production. AISC was higher due to higher sustaining capital at Greens Creek and Lucky Friday, and higher corporate general and administrative expenses.^3,4

Gold total cost of sales for Casa Berardi was consistent with the prior year as production costs remained stable year over year.

Cash costs and AISC per gold ounce, each after by-product credits, were $1,762 and $1,990 respectively, an increase over the prior year as lower production costs and sustaining capital spend was partially offset by lower gold production.^3,4

Adjusted EBITDA for the year was $337.9 million, a 62% increase over the prior year. The ratio of net debt to adjusted EBITDA (net leverage ratio) improved to 1.6 times from 2.7 times due to strong EBITDA generation in 2024 and reduction in net debt.¹ Cash and cash equivalents at December 31, 2024 were $26.9 million and included $23 million drawn on the revolving credit facility.

Cash provided by operating activities was $218.3 million, an increase of $142.8 million from the prior year primarily due to higher net income partially offset by unfavorable working capital changes, including an increase of accounts receivable (Lucky Friday resumed production and Keno Hill ramped up operations), increase in inventories, and timing of accounts payable payments.

Capital investment, net of finance leases, was $214.5 million in 2024, compared to $223.9 million in the prior year. The decrease was due to (i) lower capital investment at Lucky Friday due to the prior year requiring additional capital to establish an alternative secondary escapeway as a result of the fire, (ii) decreased capital investment at Casa Berardi as the mine transitions to a surface only operation in mid-2025. These decreases were partially offset by (i) higher capital investment at Keno Hill for critical infrastructure projects including the dry stack tailings facility (“DSTF”), mobile equipment purchases, and mine development and (ii) other sustaining capital projects at Greens Creek.

Free cash flow for the year was $3.8 million, compared to negative $148.4 million in the prior year, with the increase primarily due to higher cash flow from operations.²

Hedging Update: Forward Sales Contracts for Base Metals and Foreign Currency

The Company uses financially settled forward sales contracts to manage exposures to zinc and lead price changes in forecasted concentrate shipments. On December 31, 2024, the Company had contracts covering approximately 23% and 34% of the forecasted payable zinc and lead production for 2025 – 2026 at an average price of $1.39 and $1.01 per pound, respectively.

The Company also manages Canadian dollar (“CAD”) exposure through forward contracts. At December 31, 2024, the Company had hedged approximately 47% of forecasted Casa Berardi and Keno Hill CAD denominated direct production costs through 2026 at an average CAD/USD rate of 1.34. The Company has also hedged approximately 23% of Casa Berardi and Keno Hill CAD denominated total capital expenditures through 2026 at 1.38.

OPERATIONS OVERVIEW

Greens Creek Mine – Alaska

Dollars are in thousands except cost per ton		4Q-2024				3Q-2024				2Q-2024				1Q-2024				4Q-2023				FY-2024				FY-2023
GREENS CREEK
Operating Highlights
Tons of ore processed			224,521				212,863				225,746				232,188				220,186				895,318				914,796
Total production cost per ton		$	211.64			$	222.39			$	218.09			$	212.92			$	223.98			$	216.15			$	204.20
Ore grade milled – Silver (oz./ton)			10.72				11.22				12.60				13.30				12.89				11.99				13.31
Ore grade milled – Gold (oz./ton)			0.09				0.08				0.09				0.09				0.09				0.09				0.09
Ore grade milled – Lead (%)			2.61				2.44				2.50				2.60				2.75				2.52				2.60
Ore grade milled – Zinc (%)			6.59				6.60				6.20				6.30				6.45				6.41				6.35
Ore grade milled – Copper (%)			0.25				0.31				0.27				0.28				0.27				0.27				0.26
Silver produced (oz.)			1,901,418				1,857,314				2,243,551				2,478,594				2,260,027				8,480,877				9,731,752
Gold produced (oz.)			14,804				11,746				14,137				14,588				14,651				55,275				60,896
Lead produced (tons)			4,808				4,165				4,513				4,834				4,910				18,320				19,578
Zinc produced (tons)			13,241				12,585				12,400				13,062				12,535				51,288				51,496
Copper produced (tons)			427				490				462				495				449				1,874				1,823
Financial Highlights
Sales		$	112,037			$	116,568			$	95,659			$	97,310			$	93,543			$	421,574			$	384,504
Total cost of sales		$	(67,887	)		$	(73,597	)		$	(56,786	)		$	(69,857	)		$	(70,231	)		$	(268,127	)		$	(259,895	)
Gross profit		$	44,150			$	42,971			$	38,873			$	27,453			$	23,312			$	153,447			$	124,609
Cash flow from operations		$	60,442			$	54,076			$	43,276			$	28,706			$	34,576			$	186,500			$	157,325
Exploration		$	1,129			$	4,325			$	2,011			$	551			$	1,324			$	8,016			$	7,815
Capital additions		$	(15,798	)		$	(11,466	)		$	(11,704	)		$	(8,827	)		$	(15,996	)		$	(47,795	)		$	(43,542	)
Free cash flow2		$	45,773			$	46,935			$	33,583			$	20,430			$	19,904			$	146,721			$	121,598
Cash Costs and AISC, each after by-product credits
Cash costs per ounce, after by-product credits3		$	(5.86	)		$	0.93			$	0.19			$	3.45			$	4.94			$	(0.05	)		$	2.53
AISC per ounce, after by-product credits4		$	2.62			$	7.04			$	5.40			$	7.16			$	12.00			$	5.65			$	7.14

Operational Review

Greens Creek produced 8.5 million ounces of silver and 55,275 ounces of gold in 2024. Zinc production was consistent with the prior year while lead production declined 6% due to lower grades.

Silver and gold production in the fourth quarter increased by 2% and 26% respectively, over the prior quarter, delivering 1.9 million ounces of silver and 14,804 ounces of gold. Fourth quarter silver production was lower than planned as equipment availability affected backfill cycles, resulting in a delay in the mining sequence of higher-grade stopes. Silver grades are expected to increase through the first quarter of 2025 as backfill cycles improve.

Fourth Quarter Financial Review

Sales in the fourth quarter were $112.0 million, a decrease of 4% over the prior quarter, as higher realized prices for all metals were offset by lower sales volumes.

Total cost of sales was $67.9 million, a decrease of 8% over the prior quarter, primarily due to lower sales volumes, while total production costs remained stable quarter-over-quarter. Cash costs and AISC per silver ounce, each after by-product credits, were negative $5.86 and $2.62 and decreased over the prior quarter due to lower treatment charges, higher silver production, and higher by-product credits (higher prices and production).^3,4

Cash flow from operations was $60.4 million, an increase of 12% over the prior quarter due to higher gross margin and favorable working capital changes. Capital investment was $15.8 million during the quarter, an increase of $4.3 million over the prior quarter, primarily due to mobile equipment purchases.

Free cash flow for the quarter of $45.8 million was consistent with the prior quarter as higher capital investment offset the increase in cash flow from operation.

2024 Financial Review

Sales in 2024 were $421.6 million, an increase of 10% compared to the prior year as higher realized prices for all metals except lead, and higher zinc volumes were partially offset by lower sales volumes of other metals.

Total cost of sales increased 3% to $268.1 million due to higher labor and contractor costs and higher equipment maintenance costs. Cash costs and AISC per silver ounce (each after by-product credits) were negative $0.05 and $5.65, respectively, lower than the prior year due to higher by-product credits (higher by-product prices offset lower gold and lead production) and lower treatment charges, which offset lower silver production, higher costs and capital investment.^3,4

Cash flow from operations for the year was $186.5 million and increased 19% over the prior year due to higher revenues. Capital investment was $47.8 million during the year, an increase of 10% over the prior year, primarily due to increased mine development and mobile equipment purchases.

Free cash flow generation for the year was $146.7 million and increased 21% over the prior year as higher sales were partially offset by higher costs and capital spend.²

Please refer to guidance section of the release for production, cost, and capital guidance for 2025.

Lucky Friday Mine – Idaho

Dollars are in thousands except cost per ton		4Q-2024				3Q-2024				2Q-2024				1Q-2024				4Q-2023				FY-2024				FY-2023
LUCKY FRIDAY
Operating Highlights
Tons of ore processed			108,585				104,281				107,441				86,234				5,164				406,541				231,129
Total production cost per ton		$	250.71			$	260.99			$	233.99			$	233.10			$	201.42			$	245.19			$	218.45
Ore grade milled – Silver (oz./ton)			13.0				12.1				12.9				12.9				12.7				12.7				14.0
Ore grade milled – Lead (%)			8.5				7.9				8.1				8.2				8.0				8.2				8.9
Ore grade milled – Zinc (%)			4.2				3.9				3.6				3.9				3.5				3.9				4.1
Silver produced (oz.)			1,336,910				1,184,819				1,308,155				1,061,065				61,575				4,890,949				3,086,119
Lead produced (tons)			8,685				7,662				8,229				6,689				372				31,265				19,543
Zinc produced (tons)			3,814				3,528				3,320				2,851				134				13,513				7,944
Financial Highlights
Sales		$	57,671			$	51,072			$	59,071			$	35,340			$	3,117			$	203,154			$	116,284
Total cost of sales		$	(40,157	)		$	(39,286	)		$	(37,523	)		$	(27,519	)		$	(3,117	)		$	(144,485	)		$	(84,185	)
Gross profit		$	17,514			$	11,786			$	21,548			$	7,821			$	—			$	58,669			$	32,099
Cash flow from operations		$	25,329			$	34,374			$	44,546			$	27,112			$	(7,982	)		$	131,361			$	57,558
Capital additions		$	(12,608	)		$	(11,178	)		$	(10,818	)		$	(14,988	)		$	(18,819	)			(49,592	)		$	(65,337	)
Free cash flow2		$	12,721			$	23,196			$	33,728			$	12,124			$	(26,801	)		$	81,769			$	(7,779	)
Cash Costs and AISC, each after by-product credits
Cash costs per ounce, after by-product credits3		$	7.68			$	9.98			$	5.32			$	8.85			N/A				$	7.80			$	5.51
AISC per ounce, after by-product credits4		$	17.12			$	19.40			$	12.74			$	17.36			N/A				$	16.50			$	12.21

Operational Review

In 2024, Lucky Friday delivered solid operational performance, producing 4.9 million ounces of silver, an increase of 58% over the prior year (2023 production was negatively impacted by the suspension of operations for five months due to the fire). In 2024, the mine set multiple production records, including record tons mined (ore and waste), record throughput, record zinc production and the highest silver and lead production since 2000.

Fourth quarter silver production was 1.3 million ounces, an increase of 13% over the prior quarter due to higher silver grades and mill throughput.

Fourth Quarter Financial Review

Sales in the fourth quarter were $57.7 million, an increase of 13% over the prior quarter due to higher realized prices for all metals and higher sales volumes.

Cost of sales were $40.2 million, in line with the prior quarter. Cash costs and AISC per silver ounce, each after by-product credits, were $7.68 and $17.12, respectively, and decreased over the prior quarter primarily due to higher by-product credits (higher prices and production) and higher silver production.^3,4

Cash flow from operations was $25.3 million, a decrease of 26% over the prior quarter which was favorably impacted by insurance receipts of $14.8 million. Capital investment increased to $12.6 million, a 13% increase over the prior quarter due to increased development and other sustaining capital investments. Free cash flow for the quarter was $12.7 million and decreased over the prior quarter due to favorable impact of insurance receipts in the prior quarter.

2024 Financial Review

Sales in 2024 were $203.2 million, an increase of 75% over the prior year, attributable to higher silver and base metal production (reflecting almost twelve full months of production versus seven months in the prior year) and higher realized prices. Gross profit in 2024 was $58.7 million, an increase of 83% over 2023, due to the abovementioned reasons.

Cash costs and AISC per silver ounce, each after by-product credits, were $7.80 and $16.50, respectively, an increase over the prior year mainly due to higher costs reflecting a full year of production.^3,4

Cash flow from operations for the year was $131.4 million, an increase of 128% over the prior year, reflecting the receipt of insurance proceeds throughout the year. Capital investment, net of leases, for the year was $49.6 million; major capital projects executed were mine development, equipment purchases, and pre-production drilling. Free cash flow for the year was $81.8 million and includes $50 million of insurance receipts.²

Please refer to guidance section of the release for production, cost, and capital guidance for 2025.

Keno Hill – Yukon Territory

Dollars are in thousands except cost per ton		4Q-2024				3Q-2024				2Q-2024				1Q-2024				4Q-2023				FY-2024				FY-2023
KENO HILL
Operating Highlights
Tons of ore processed			23,123				24,027				36,977				25,165				19,651				109,292				56,331
Ore grade milled – Silver (oz./ton)			29.6				25.7				25.1				26.3				31.7				26.2				27.7
Ore grade milled – Lead (%)			3.9				3.0				2.4				2.4				2.6				2.8				2.3
Ore grade milled – Zinc (%)			1.3				2.4				1.4				1.3				1.6				1.6				2.5
Silver produced (oz.)			629,828				597,293				900,440				646,312				608,301				2,773,873				1,502,577
Lead produced (tons)			839				670				845				576				481				2,930				1,225
Zinc produced (tons)			246				492				471				298				396				1,507				1,339
Financial Highlights
Sales		$	15,356			$	19,809			$	28,950				10,847				17,936			$	74,962			$	35,518
Total cost of sales		$	(15,356	)		$	(19,809	)		$	(28,950	)			(10,847	)			(17,936	)		$	(74,962	)		$	(35,518	)
Gross profit		$	—			$	—			$	—			$	—				—			$	—			$	—
Cash flow from operations		$	(1,752	)		$	(6,811	)		$	(465	)		$	(8,720	)			(1,188	)		$	(17,748	)		$	(24,243	)
Exploration		$	2,605			$	2,664			$	2,019			$	498				1,548			$	7,786			$	4,677
Capital additions		$	(15,584	)		$	(14,406	)		$	(14,533	)		$	(10,346	)			(12,549	)		$	(54,869	)		$	(44,672	)
Free cash flow2		$	(14,731	)		$	(18,553	)		$	(12,979	)		$	(18,568	)			(12,189	)		$	(64,831	)		$	(64,238	)

Operational Review

Keno Hill produced 2.8 million ounces of silver, an increase of 85% over prior year and within guidance of 2.7-3.0 million ounces. Mill throughput for the year averaged 299 tons per day (“tpd”), below the permitted capacity of 440 tpd.

Fourth quarter silver production was nearly 630,000 ounces, an increase of 5% over the prior quarter, attributable to higher silver grades. Mill throughput averaged 251 tpd in the fourth quarter and was impacted by the suspension of milling operations for 25 days due to delays relating to the DSTF (including permitting), and an additional 10 days due to the power curtailments by Yukon Energy Corporation (“YEC”), the utility that supplies power to the mine. The Company estimates the power curtailments lowered production by approximately 130,000 ounces in the fourth quarter.

Fourth Quarter Financial Review

Sales in the fourth quarter were $15.4 million, and decreased 22% over the prior quarter due to lower volumes sold. Total expenditures on production costs (excluding depreciation) were $21.4 million.

Cash flow from operations was negative $1.8 million and improved over the prior quarter due to favorable working capital changes. Capital investments during the quarter were $15.6 million and included mine development and construction of the DSTF. Free cash flow was negative $14.7 million, an improvement of $3.8 million over the prior quarter due to the improvement in cash flow from operations.

2024 Financial Review

Sales in 2024 were $75.0 million, an increase of 111% over the prior year, due to higher volumes sold and higher realized prices. Total expenditures on production costs (excluding depreciation) were $91.8 million.

Cash flow from operations was negative $17.7 million, and improved over the prior year due to higher sales. Capital investment increased 23% due to higher mine development, equipment, and investment in critical infrastructure projects like the DSTF. Free cash flow for the year was negative $64.8 million, in line with the prior year.

Outlook

Victoria Gold’s Eagle Mine heap leach pad incident in June 2024, although unrelated to Hecla and Keno Hill, caused the First Nation of Na-Cho Nyäk Dun (“FNNND”) to express strong positions on mining activities within their Traditional Territory, where Keno Hill is located, including a call to halt all mining. This has slowed the Company’s permitting efforts as the Yukon Government is required to consult with the FNNND on permitting matters. Progress continues to be made on permitting, but significant challenges remain. Further, power curtailment by YEC at Keno Hill has continued into 2025, resulting in 8 days of operational stoppage as of this release. Disruptions are expected to continue through the first half of 2025, due to cold temperatures and YEC’s insufficient generating capacity relating to an out-of-service hydro-electric turbine that is not expected to be repaired until summer 2025. However, the Yukon Premier has committed resources to review and resolve the power deficit at Keno Hill in the coming months. Considering electrical reliability challenges, along with ongoing discussions with the Yukon Government and the FNNND regarding the Eagle Mine incident, we project 2025 silver production to remain comparable to 2024 levels, with growth expected to resume in 2026.

Despite these issues at Keno Hill, the Company has charted a path to achieve sustainable profitable production through a phased approach to throughput optimization. The immediate focus is on achieving consistent performance at the current permitted capacity of 440 tpd while investing in infrastructure and advancing critical permitting for future expansion to approximately 600 tpd. Increased throughput is critical for generating returns at this remote operation due to its high fixed costs. The expansion pathway, supported by the mine’s robust resource base and recent increase in silver reserves to over 64 million ounces, is expected to meet the Company’s investment threshold criteria at current silver prices. While permitting timelines in Yukon have been impacted by broader regional developments, the Company is engaged with stakeholders and regulatory authorities to advance permits. The goal of a disciplined approach that focuses on operational and environmental excellence is to unlock Keno Hill’s significant value potential.

Please refer to guidance section of the release for detailed production, cost, and capital guidance for 2025.

Casa Berardi – Quebec

Dollars are in thousands except cost per ton		4Q-2024				3Q-2024				2Q-2024				1Q-2024				4Q-2023				FY-2024				FY-2023
CASA BERARDI
Operating Highlights
Tons of ore processed – underground			113,068				101,308				118,485				123,123				104,002				455,984				420,915
Tons of ore processed – surface pit			292,148				268,291				248,494				258,503				251,009				1,067,436				1,025,573
Tons of ore processed – total			405,216				369,599				366,979				381,626				355,011				1,523,420				1,446,488
Surface tons mined – ore and waste			6,708,708				5,603,101				4,064,091				3,639,297				4,639,770				20,015,197				12,812,350
Total production cost per ton		$	100.34			$	97.82			$	107.84			$	96.53			$	108.20			$	100.58			$	104.75
Ore grade milled – Gold (oz./ton) – underground			0.12				0.11				0.14				0.14				0.12				0.13				0.11
Ore grade milled – Gold (oz./ton) – surface pit			0.04				0.05				0.04				0.04				0.06				0.04				0.04
Ore grade milled – Gold (oz./ton) – combined			0.06				0.06				0.07				0.07				0.07				0.07				0.07
Gold produced (oz.) – underground			11,034				9,913				13,719				13,707				11,206				48,373				45,636
Gold produced (oz.) – surface pit			9,889				10,621				9,468				8,297				11,311				38,275				44,727
Gold produced (oz.) – total			20,923				20,534				23,187				22,004				22,517				86,648				90,363
Silver produced (oz.) – total			6,188				5,578				6,338				6,127				5,730				24,231				22,415
Financial Highlights
Sales		$	59,164			$	50,308			$	58,623			$	41,584			$	42,822			$	209,679			$	177,678
Total cost of sales		$	(51,734	)		$	(46,280	)		$	(67,340	)		$	(58,260	)		$	(58,945	)		$	(223,614	)		$	(221,341	)
Gross profit (loss)		$	7,430			$	4,028			$	(8,717	)		$	(16,676	)		$	(16,123	)		$	(13,935	)		$	(43,663	)
Cash flow from operations		$	12,356			$	15,305			$	17,816			$	3,186			$	3,136			$	48,663			$	2,181
Exploration		$	—			$	—			$	315			$	685			$	635			$	1,000			$	4,278
Capital additions		$	(16,406	)		$	(18,606	)		$	(12,376	)		$	(13,316	)		$	(15,929	)		$	(60,704	)		$	(70,056	)
Free cash flow2		$	(4,050	)		$	(3,301	)		$	5,755			$	(9,445	)		$	(12,158	)		$	(11,041	)		$	(63,597	)
Cash Costs and AISC, each after by-product credits
Cash costs per ounce, after by-product credits3		$	1,936			$	1,754			$	1,701			$	1,669			$	1,702			$	1,762			$	1,652
AISC per ounce, after by-product credits4		$	2,203			$	2,059			$	1,825			$	1,899			$	1,969			$	1,990			$	2,048

Operational Review

Casa Berardi produced 86,648 ounces of gold in 2024, a decrease of 4% over the prior year, due to lower surface grades, which offset higher throughput from open pit operations. Mined tons (ore and waste) in the 160 open pit increased 56% over the prior year, while costs, both operating and capital were consistent with the prior year. The mine is expected to transition to a surface only operation by mid-2025, when the stripping ratio for the 160 pit is expected to decline, and mill throughput is expected to be sourced completely from the pit.

Fourth quarter production was 20,923 ounces of gold, an increase of 2% over the prior quarter, due to higher throughput.

Fourth Quarter Financial Review

Sales in the fourth quarter were $59.2 million, an increase of 18% over the prior quarter, primarily due to higher gold prices.

Total cost of sales was $51.7 million, an increase of 12% over the prior quarter, due to higher sales volumes, and higher contractor costs. Cash costs and AISC per gold ounce, each after by-product credits, were $1,936 and $2,203, respectively, and increased over the prior quarter due to higher production costs attributable to higher ore and waste tons mined and milled during the quarter, and include losses of $38.7 per ounce on foreign exchange hedges.^3,4

Cash flow from operations was $12.4 million, a 19% decrease over the prior quarter due to unfavorable working capital changes (timing of accounts payable payments). Capital investment for the quarter was $16.4 million, net of capital leases of $5.0 million ($5.4 million and $11.0 million in sustaining and non-sustaining capital investment, respectively). Non-sustaining capital was primarily related to construction costs of tailings facilities. Free cash flow for the quarter was negative $4.1 million and decreased over the prior quarter due to lower cash flow from operations.²

2024 Financial Review

Sales for 2024 were $209.7 million, an increase of 18% over the prior year due to higher realized prices partially offset by lower gold production and related total production costs.

Full-year total cost of sales was $223.6 million, in line with the prior year. Cash costs and AISC per gold ounce, each after by-product credits, were $1,762 and $1,990, respectively.^3,4 The year-over-year increase in cash costs per gold ounce was primarily attributable to lower gold production.

Cash flow from operations for the year was $48.7 million, a significant increase over the prior year, due to a $29.7 million reduction in gross loss. Capital investment of $60.7 million (net of capital leases of $5.0 million) was primarily related to construction of the Cell 7 tailings facility. Free cash flow was negative $11.1 million, an improvement of $52.5 million over the prior year, attributable to the increase in cash flow from operations.

Outlook

Casa Berardi is transitioning from a combined underground and surface operation to a surface only operation. By mid-2025, the Company expects to be mining only the 160 open pit, as the higher margin stopes of the west underground mine should be exhausted. With the expected decline in 160 pit’s strip ratio, the mine’s economics are expected to improve with free cash flow generation commencing in the second half of 2025.

Casa Berardi is expected to produce gold from the 160 pit until 2027. At current gold prices, the 160 pit is expected to generate strong free cash flow from the second half of 2025 (when the pit’s strip ratio is expected to decline) until 2027. Upon completion of mining at the 160 pit, and milling the remaining stockpiles, Casa Berardi is expected to have a production gap commencing in 2027 and continuing until 2032 or later. During this time, the focus is expected to be on investing in permitting, infrastructure and equipment, as well as de-watering and stripping two expected new open pits, the Principal and West Mine Crown Pillar pits. Upon conclusion of the hiatus and related permitting and construction, the Company expects the mine to generate significant free cash flow at current gold prices. Given the expected hiatus in future production and the uncertainty surrounding permitting and timing of construction of the new open pits, the Company continues to consider strategic alternatives for Casa Berardi.

Please refer to guidance section of the release for production, cost, and capital guidance for 2025.

EXPLORATION AND PRE-DEVELOPMENT

Exploration and pre-development expenses totaled $5.7 million for the fourth quarter and $27.3 million for the entire year. During the fourth quarter, exploration activities focused on targets at Keno Hill and Greens Creek.

For the year ended 2024, the Company reported silver reserves of 239.8 million ounces, the second highest in the Company’s history and only 1 million ounces lower than the record reserves in 2022. The 2024 exploration program and resulting reinterpretations were particularly successful at expanding Keno Hill’s silver reserves, which increased by 17%, and nearly replacing silver production at Greens Creek. A breakdown of the Company’s reserves and resources is located in Table A at the end of this news release.

Selected drill intercepts for the two operations are shown below. For further details on the Company’s 2024 exploration and pre-development program and 2025 planned expenditures as well as reserves and resources at year-end 2024, please refer to the news release entitled “Hecla Reports Exploration Results and Reserves” released on February 12, 2025.

Keno Hill

Bermingham Vein Zone

• Footwall Vein: 36.6 ounce per ton (“opt”) silver, 3.0% lead, and 0.9% zinc over 11.2 feet
• Includes: 48.4 opt silver, 3.7% lead, and 1.0% zinc over 8.1 feet
• Main Vein: 42.8 oz/ton silver, 9.3% lead, and 9.7% zinc over 6.8 feet

Greens Creek

West Zone

• 34.6 opt silver, 0.44 oz/ton gold, 2.8% lead and 5.9% zinc over 12.1 feet
• 40.1 opt silver, 0.36 oz/ton gold, 4.3% lead and 8.2% zinc over 8.0 feet

DIVIDENDS

Revision to Dividend Policy

The Company has revised its common stock dividend policy, maintaining the base cash dividend of $0.015 per share ($0.00375 per share quarterly) while eliminating the silver-linked component. The revised dividend policy supports the Company’s capital allocation priorities of (i) investing in high-return organic growth opportunities, with a focus on development of Keno Hill, (ii) strengthening the balance sheet and enhancing financial flexibility, and (iii) delivering disciplined shareholder returns.

Pursuant to the revised dividend policy, the Board of Directors declared a quarterly cash dividend of $0.00375 per share of common stock payable on or about March 24, 2025, to stockholders of record on March 10, 2025.

Preferred Stock

The Board of Directors declared a quarterly cash dividend of $0.875 per share of Series B preferred stock, payable on or about April 1, 2025, to stockholders of record on March 14, 2025.

2025 GUIDANCE ⁶

In the tables below the Company provides production, cost, and capital guidance on a consolidated basis and by mine, as well as projected consolidated exploration and pre-development expenditures.

2025 Production Outlook

Consolidated silver production is expected to be 15.5-17.0 million ounces, in line with 2024 silver production.

• Greens Creek’s silver production is expected to be 8.1-8.8 million ounces, consistent with 2024 production. Base metal production for the mine is also expected to be in line with 2024, while gold production is expected to decline due to lower grades.
• Lucky Friday’s silver production is expected to be 4.7-5.1 million ounces, consistent with 2024 production.
• Keno Hill silver production is expected to be 2.7-3.1 million ounces, consistent with 2024 production, as the Company continues to focus on permitting matters and execution of critical infrastructure projects. Keno Hill’s infrastructure (primarily camp facilities) is expected to face higher demand than in 2024 from the Company’s environmental remediation services subsidiary, ERDC, which performs environmental remediation work in Yukon on behalf of the Canadian government.

Consolidated gold production is expected to decrease to 120-130 thousand ounces, primarily due to less production at Casa Berardi as the mine transitions to a surface only operation during the year.

		Silver Production (Moz)		Gold Production (Koz)		Silver Equivalent (Moz)		Gold Equivalent (Koz)
Greens Creek *		8.1 – 8.8		44.0 – 48.0		18.0 – 19.5		200.0 – 210.0
Lucky Friday *		4.7 – 5.1		N/A		8.0 – 8.5		90.0 – 95.0
Casa Berardi		N/A		76.0 – 82.0		6.5 – 7.5		76.0 – 82.0
Keno Hill *		2.7 – 3.1		N/A		3.0 – 3.5		30.0 – 40.0
2025 Total		15.5 – 17.0		120.0 – 130.0		35.5 – 39.0		396.0 – 427.0

* Equivalent ounces include Lead and Zinc production

2025 Cost Guidance

• At Greens Creek, guidance for cash costs per silver ounce (after by-product credits) is higher compared to 2024 due to expected increases in labor and power costs, the latter resulting from expected maintenance at the hydropower utility that supplies power to the mine (requiring the mine to generate using more expensive diesel power), as well as lower price assumptions for by-products (resulting in lower by-product credits). The increase in guidance for AISC per silver ounce (after by-product credits) is attributable to planned higher capital investment.
• At Lucky Friday, guidance for cash costs per silver ounce (after by-product credits) is lower for 2025 compared to 2024 as 2024 was impacted by higher than expected costs incurred as the mine ramped-up to full production in the first quarter of the year. The increase in guidance for AISC per silver ounce (after by-product credits) is attributable to planned higher capital spend.
• At Keno Hill, expenditures on production costs, excluding depreciation, are expected to be $15-$17 million per quarter. Guidance for cash costs and AISC per silver ounce (after by-product credits) will be provided when the mine reaches commercial production.
• At Casa Berardi, guidance for cash costs and AISC per gold ounce (after by-product credits) is lower than 2024 as costs and capital are expected to decrease with the mine’s transition to an open-pit only operation in mid-2025.

		Total costs of Sales (million)				Cash costs, after by-product credits, per silver/gold ounce3		AISC, after by-product credits, per produced silver/gold ounce4
Greens Creek			289.0			$2.00 – $2.50		$8.75 – $9.50
Lucky Friday			135.0			$4.25 – $4.75		$16.50 – $18.00
Total Silver			424.0			$3.00 – $3.25		$15.75 – $17.00
Casa Berardi			165.5			$1,500 – $1,650		$1,750 – $1,950

2025 Capital and Exploration Guidance

Consolidated capital investment is expected to be $222-$242 million and is expected to increase over 2024 due to increased investment at Greens Creek and Lucky Friday.

• Greens Creek’s planned increase in capital investment is primarily attributable to engineering and construction related to the expansion of its DSTF, which is expected to increase tailings capacity to 2040.
• Lucky Friday’s planned increase in capital investment is due to increased development and a surface cooling project, which is critical to increase the designed cooling capacity at the mine over its reserve mine-life of seventeen years.
• Expected capital spend at Keno Hill comprises mine development and mine infrastructure projects, including a paste backfill plant, DSTF, and water treatment plant.
• Casa Berardi’s expected growth capital investment includes tailings construction costs.

Exploration and pre-development expenditures are expected to be $28 million, with the focus at Greens Creek and Keno Hill, with some planned spend at Nevada and Lucky Friday.

(millions)		Total	Sustaining	Growth
2025 Total Capital expenditures		$222 – $242	$125 – $133	$97 – $109
Greens Creek		$58 – $63	$48 – $51	$10 – $12
Lucky Friday		$63 – $68	$58 – $61	$5 – $7
Casa Berardi		$58 – $63	$19 – $21	$39 – $42
Keno Hill		$43 – $48	N/A	$43 – $48
2025 Exploration & Pre-Development		$28

CONFERENCE CALL AND WEBCAST

A conference call and webcast will be held on Friday, February 14, at 10:00 a.m. Eastern Time to discuss these results. We recommend that you dial in at least 10 minutes before the call commencement. You may join the conference call by dialing toll-free 1-800-715-9871 or for international dialing 1-646-370-1963. The Conference ID is 4812168 and must be provided when dialing in. Hecla’s live and archived webcast can be accessed at https://events.q4inc.com/attendee/766866042 or www.hecla.com under Investors.

VIRTUAL INVESTOR EVENT

Hecla will be holding a Virtual Investor Event on Friday, February 14, from 12:00 p.m. to 1:30 p.m. Eastern Time.

Hecla invites shareholders, investors, and other interested parties to schedule a personal, 30-minute virtual meeting (video or telephone) with a member of senior management to discuss Financial, Exploration, Operations, ESG or general matters. Click on the link below to schedule a call (or copy and paste the link into your web browser). You can select a topic once you have entered the meeting calendar. If you are unable to book a time, either due to high demand or for other reasons, please reach out to Anvita M. Patil, Vice President, Investor Relations and Treasurer at hmc-info@hecla.com or 208-769-4100.

One-on-One meeting URL: https://calendly.com/2024-feb-vie

NT4