Endeavour Silver : Q1 (edr silver march 31 2025 fs)

Endeavour Silver Corp.

Condensed Consolidated Interim Financial Statements Unaudited

Three Months Ended March 31, 2025 and 2024

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION

(unaudited)

(expressed in thousands of US dollars)
		March 31,	December 31,
	Notes	2025	2024
ASSETS
Current assets
Cash and cash equivalents		$ 64,697	$ 106,434
Other investments		1,213	1,070
Accounts and other receivables	4	10,450	10,285
Inventories	5	39,055	36,010
Prepaids and other current assets		5,211	3,848
Total current assets		120,626	157,647
Non-current income tax receivable		3,564	3,572
Non-current IVA receivable	4	37,643	31,301
Non-current loan receivable		1,179	1,156
Other non-current assets	6	13,838	19,368
Mineral properties, plant and equipment	6	551,138	506,205
Total assets		$ 727,988	$ 719,249
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable, accrued liabilities and other current liabilities		$ 59,552	$ 53,943
Income taxes payable		10,720	9,457
Loans payable	7	10,139	5,234
Derivative liabilities		25,416	10,232
Total current liabilities		105,827	78,866
Non-current loans payable	7	112,301	115,002
Provisions for reclamation and rehabilitation		12,135	11,635
Deferred income tax liability		10,101	10,315
Non-current derivative liabilities		33,298	16,627
Other non-current liabilities		2,280	2,367
Total liabilities		275,942	234,812
Shareholders' equity Common shares		850,986	850,986
Contributed surplus		6,122	5,606
Retained deficit		(405,062)	(372,155)
Total shareholders' equity		452,046	484,437
Total liabilities and shareholders' equity		$ 727,988	$ 719,249

The accompanying notes are an integral part of these consolidated financial statements. Approved on behalf of the Board:

/s/ Margaret Beck /s/ Daniel Dickson

Director Director

CONDENDSED CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE EARNINGS (LOSS)

(unaudited)

(expressed in thousands of US dollars, except for shares and per share amounts)

Three months ended

	Notes	March 31, 2025	March 31, 2024
Revenue	9	$ 63,498	$ 63,725
Cost of sales: Direct production costs		35,173	36,705
Royalties		6,243	6,408
Share-based payments	8	34	79
Depreciation		9,206	8,877
		50,656	52,069
Mine operating earnings		12,842	11,656
Expenses: Exploration, evaluation and development	10	4,538	4,270
General and administrative	11	4,274	4,044
		8,812	8,314
Operating earnings		4,030	3,342
Finance costs		417	314
Other income (expense): Foreign exchange gain (loss)		(975)	1,179
Loss on derivative liabilities		(31,931)	-
Investment and other		1,451	33
		(31,455)	1,212
Earnings (loss) before income taxes		(27,842)	4,240
Income tax expense: Current income tax expense		5,279	5,667
Deferred income tax recovery		(214)	(233)
		5,065	5,434
Net loss and comprehensive loss		$ (32,907)	$ (1,194)
Basic loss per share		$ (0.13)	$ (0.01)
Diluted loss per share	8	$ (0.13)	$ (0.01)
Basic weighted average number of shares outstanding		262,323,863	227,503,581
Diluted weighted average number of shares outstanding	8	262,323,863	227,503,581

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY

(unaudited)

(expressed in thousands of US dollars, except for shares and per share amounts)

	Notes	Number of shares	Share Capital	Contributed Surplus	Retained Deficit	Total Shareholders' Equity
Balance at December 31, 2023		217,245,492	$ 722,695	$ 4,556	$ (340,910)	$ 386,341
Public equity offerings, net of issuance costs		23,091,986	38,910	-	-	38,910
Share-based compensation		-	-	1,170	-	1,170
Loss for the period		-	-	-	(1,194)	(1,194)
Balance at March 31, 2024		240,337,478	$ 761,605	$ 5,726	$ (342,104)	$ 425,227
Public equity offerings, net of issuance costs		20,273,985	83,463	-	-	83,463
Exercise of options		1,712,400	5,918	(1,961)	-	3,957
Canceled options and performance share units		-	-	(231)	231	-
Share-based compensation		-	-	2,072	-	2,072
Loss for the period		-	-	-	(30,282)	(30,282)
Balance at December 31, 2024		262,323,863	$ 850,986	$ 5,606	$ (372,155)	$ 484,437
Share-based compensation		-	-	516	-	516
Loss for the period		-	-	-	(32,907)	(32,907)
Balance at March 31, 2025		262,323,863	$850,986	$6,122	($405,062)	$452,046

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS

(unaudited)

(expressed in thousands of US dollars)

Periods ended

	Notes	March 31, 2025	March 31, 2024
Operating activities Net loss for the period		$ (32,907)	$ (1,194)
Items not affecting cash: Share-based compensation	8 (b)(c)	516	1,170
Depreciation	6	9,561	9,135
Deferred income tax expense (recovery)		(214)	(131)
Unrealized foreign exchange loss		275	136
Finance costs		417	314
Interest income		(990)	-
Accretion of loans receivable	4	(22)	(75)
Unrealized loss on derivative liabilities		31,855	-
(Gain) loss on other investments		(143)	879
Net changes in non-cash working capital	12	(4,985)	(5,651)
Cash from operating activities		3,363	4,583
Investing activities Payment for mineral properties, plant and equipment	6	(41,585)	(44,869)
Proceeds from disposal of other investments		-	2,643
Proceeds from loan receivable	4	-	450
Interest received		990	-
Cash used in investing activities		(40,595)	(41,776)
Financing activities Repayment of loans payable	7	(1,209)	(1,188)
Repayment of lease liabilities		(115)	(97)
Interest paid	7	(3,162)	(135)
Net proceeds from public equity offerings		-	38,910
Payment of deferred financing fees		-	(696)
Cash from (used in) financing activities		(4,486)	36,794
Effect of exchange rate change on cash and cash equivalents		(19)	(11)
Decrease in cash and cash equivalents		(41,737)	(410)
Cash and cash equivalents, beginning of the period		106,434	32,286
Cash and cash equivalents, end of the period		$ 64,697	$ 34,876

Supplemental cash flow information (Note 12)

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

Three months ended March 31, 2025 and 2024 (unaudited)

(expressed in thousands of US dollars, unless otherwise stated)

1. CORPORATE INFORMATION

   Endeavour Silver Corp. (the "Company" or "Endeavour Silver") is a corporation governed by the Business Corporations Act (British Columbia, Canada). The Company is engaged in silver mining in Mexico and related activities including acquisition, exploration, development, extraction, processing, refining and reclamation. The Company is also engaged in exploration activities in Chile and United States, and on May 1, 2025, has acquired Compañia Minera Kolpa S.A. ("Minera Kolpa") in Peru (Note 16). The address of the registered office is #1130 - 609 Granville Street, Vancouver, B.C., V7Y 1G5.

2. BASIS OF PRESENTATION

   These condensed consolidated interim financial statements have been prepared in accordance with IAS 34 Interim Financial Reporting and do not include all of the information required for full annual financial statements and should be read in conjunction with the Company's annual audited consolidated financial statements as at and for the year ended December 31, 2024.

   The Board of Directors approved these condensed consolidated interim financial statements for issue on May 12, 2025.

   The preparation of consolidated financial statements requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates.

   These consolidated financial statements are presented in the Company's functional currency of US dollars and include the accounts of the Company and its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated upon consolidation of these subsidiaries.

3. MATERIAL ACCOUNTING POLICIES

   The material accounting policies have been applied consistently to all periods presented and by all subsidiaries in the group. The material accounting policies applied in these condensed consolidated interim financial statements are the same as those applied in the Company's annual audited consolidated financial statements as at and for the year ended December 31, 2024. The significant judgements made by management in applying the Company's accounting policies and the key sources of estimation uncertainty were the same as those that were applied to the annual audited consolidated financial statements as at and for the year ended December 31, 2024.

4. ACCOUNTS AND OTHER RECEIVABLES

March 31, December 31, 2025 2024

Trade receivables $ 3,338 $ 3,209

IVA and GST receivable 5,368 5,220

Other receivables 344 456

Current portion of loan receivable 1,400 1,400

$ 10,450 $ 10,285

The trade receivables consist of receivables from provisional silver and gold sales from the Bolañitos mine. The fair value of receivables arising from concentrate sales contracts that contain provisional pricing mechanisms is determined using the appropriate period end closing prices from the exchange that is the principal active market for the particular metal. As such, these receivables, which meet the definition of an embedded derivative, are classified within Level 2 of the fair value hierarchy (Note 15).

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

Three months ended March 31, 2025 and 2024 (unaudited)

(expressed in thousands of US dollars, unless otherwise stated)

As at March 31, 2025, the total Mexican subsidiaries value added tax, Impuesto al Valor Agregado ("IVA"), receivable of $42,775 (December 31, 2024 - $36,420) has been allocated between the current portion of $5,132, which is included in accounts and other receivables, and the non-current portion of $37,643 (December 31, 2024 - $5,119 and $31,301, respectively). The non-current portion includes $36,444 for Terronera and $1,199 for Pitarrilla - these claims are eligible for submission upon generation of revenue (December 31, 2024 - $29,353 and $1,948, respectively).

5.	INVENTORIES
		March 31, 2025		December 31, 2024
	Warehouse inventory		$21,070	$ 19,694
	Stockpile inventory		8,300	7,349
	Finished goods inventory		8,093	7,213
	Work in process inventory		1,592	1,754
			$39,055	$ 36,010

6. MINERAL PROPERTIES, PLANT AND EQUIPMENT AND OTHER NON-CURRENT ASSETS

	Exploration & evaluation assets	Mineral properties	Plant	Machinery & equipment	Building	Transport & office equipment	Total
Cost
Balance at December 31, 2023	$ 80,231	$ 575,916	$ 133,614	$ 117,977	$ 25,550	$ 15,036	$ 948,324
Additions	3,712	118,381	60,266	32,035	10,177	1,655	226,226
Impairment of exploration properties	(181)	-	-	-	-	-	(181)
Disposals	-	-	(42)	(299)	-	(129)	(470)
Balance at December 31, 2024	$ 83,762	$ 694,297	$ 193,838	$ 149,713	$ 35,727	$ 16,562	$1,173,899
Additions	795	34,555	10,356	9,844	366	605	56,521
Balance at March 31, 2025	$84,557	$728,852	$204,194	$159,557	$36,093	$17,167	$1,230,420
Accumulated depreciation
Balance at December 31, 2023	$ -	$ 466,704	$ 85,632	$ 61,484	$ 9,746	$ 10,101	$ 633,667
Depreciation	-	22,582	1,797	8,137	428	1,461	34,405
Disposals	-	-	(42)	(295)	-	(41)	(378)
Balance at December 31, 2024	$ -	$ 489,286	$ 87,387	$ 69,326	$ 10,174	$ 11,521	$ 667,694
Depreciation		7,741	577	2,580	315	375	11,588
Balance at March 31, 2025	$ -	$ 497,027	$ 87,964	$ 71,906	$ 10,489	$ 11,896	$ 679,282
Net book value At December 31, 2024	$ 83,762	$ 205,011	$ 106,451	$ 80,387	$ 25,553	$ 5,041	$ 506,205
At March 31, 2025	$ 84,557	$ 231,825	$ 116,230	$ 87,651	$ 25,604	$ 5,271	$ 551,138

Included in mineral properties is $182,532 for acquisition and development costs of development properties (December 31, 2024 - $157,146). During the period ended March 31, 2025 the Company capitalized borrowing costs related to the Terronera Debt Facility in the amount of $3,303 using a capitalization rate of 11.5%.

Other non-current assets include $12,846 (December 31, 2024 - $18,299) of deposits related to items of property, plant and equipment at Terronera.

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

Three months ended March 31, 2025 and 2024 (unaudited)

(expressed in thousands of US dollars, unless otherwise stated)

7.	LOANS PAYABLE
		Debt Facility	Equipment Financing	Total
	Currency	USD	USD
	Year of maturity	2031	2026
	Balance at December 31, 2023	$ -	$ 8,519	$ 8,519
	Loans drawdowns	120,000	3,470	123,470
	Applied deferred financing fees	(8,770)	-	(8,770)
	Finance cost	7,200	441	7,641
	Repayments of principal	-	(4,081)	(4,081)
	Payments of interest	(3,665)	(438)	(4,103)
	Balance at December 31, 2024	$ 114,765	$ 7,911	$ 122,676
	Loans drawdowns	-	2,843	2,843
	Finance cost	3,303	187	3,490
	Repayments of principal	-	(1,209)	(1,209)
	Payments of interest	(2,975)	(187)	(3,162)
	Balance at March 31, 2025	$ 115,093	$ 9,545	$ 124,638
	Less: Current portion of loans payable	5,500	4,639	10,139
	Less: Accrued interest	2,198	-	2,198
	Balance: Non-current loans payable	$ 107,395	$ 4,906	$ 112,301

Debt Facility

The Debt Facility is secured through corporate guarantees from the Company, certain of the Company's subsidiaries and a first ranking security interest over the Terronera project. The Debt Facility is subject to certain customary covenants and, as at March 31, 2025, the Company was in compliance with these covenants.

Equipment Financing

The equipment financing is secured by the underlying equipment purchased and is subject to various non-financial covenants and as at March 31, 2025, the Company is in compliance with these covenants. As at March 31, 2025, the net book value of equipment includes $18,425 (December 31, 2024 - $15,661) of equipment pledged as security for the equipment financing.

1. SHARE CAPITAL

   Diluted Earnings per Share	Periods ended
   	March 31,	March 31,
   	2025	2024
   Net loss	$ (32,907)	$ (1,194)
   Basic weighted average number of shares outstanding	262,323,863	227,503,581
   Effect of dilutive securities: Stock options	-	-
   Equity settled deferred share units	-	-
   Performance share units	-	-
   Diluted weighted average number of share outstanding	262,323,863	227,503,581
   Diluted loss per share	$ (0.13)	$ (0.01)

   As of March 31, 2025, there are 925,291 anti-dilutive stock options (March 31, 2024 - 4,895,734).

   NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

   Three months ended March 31, 2025 and 2024 (unaudited)

   (expressed in thousands of US dollars, unless otherwise stated)

2. REVENUE Periods ended March 31, March 31, 2025 2024

   Silver sales $ 39,151 $ 41,222

   Gold sales 24,783 22,996

   Less: smelting and refining costs (436) (493) Revenue $ 63,498 $ 63,725

   Changes in fair value from provisional pricing are included in silver and gold sales. During the period revenue by product was:

   	March 31, 2025	Periods ended	March 31, 2024
   Concentrate sales	$	16,966	$	15,355
   Provisional pricing adjustments		117		(711)
   Total revenue from concentrate sales		17,083		14,644
   Refined metal sales		46,415		49,081
   Total revenue	$	63,498	$	63,725

   Provisional pricing adjustments on sales of concentrate are final pricing adjustments made upon finalization of the sales contract. The Company's sales contracts are initially priced with provisional pricing periods lasting typically one to three months with provisional pricing adjustments recorded to revenue as market prices vary.

3. EXPLORATION, EVALUATION AND DEVELOPMENT March 31, 2025 Periods ended

   March 31,

   2024

   Depreciation $ 250 $ 159

   Share-based compensation 69 151

   Exploration salaries, wages and benefits 836 660

   Direct exploration expenditures 2,073 1,630

   Evaluation and development salaries, wages and benefits 733 754

   Direct evaluation and development expenditures 577 916

   $ 4,538 $ 4,270
4. GENERAL AND ADMINISTRATIVE Periods ended March 31, March 31, 2025 2024

   Depreciation $ 105 $ 99

   Share-based compensation 413 940

   Salaries, wages and benefits 1,019 1,182

   Directors' DSU expense (recovery) 638 465

   Direct general and administrative 2,099 1,358

   $ 4,274 $ 4,044

   NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

   Three months ended March 31, 2025 and 2024 (unaudited)

   (expressed in thousands of US dollars, unless otherwise stated)

5. SUPPLEMENTAL DISCLOSURE WITH RESPECT TO CASH FLOWS Periods ended March 31, March 31, 2025 2024

   Net changes in non-cash working capital:

   Accounts and other receivables	$ (6,265)		$ (9,374)
   Income tax receivable	(126)		296
   Inventories	(2,233)		5,407
   Prepaids	(1,229)		754
   Accounts payable and accrued liabilities	3,605		(2,863)
   Income taxes payable	1,263		129
   	$ (4,985)		$ (5,651)
   Non-cash financing and investing activities: Reclamation included in mineral properties, plant and equipment	$	-	$	(102)
   Fair value of capital assets acquired under finance leases	$	-	$	-

   Other cash disbursements:

   Income taxes paid	$ 2,412	$ 2,534
   Special mining duty paid	$ 3,913	$ 2,574

6. SEGMENT DISCLOSURES

   The Company's operating segments are based on internal management reports that are reviewed by the Company's executives (the chief operating decision makers) in assessing performance. The Company has two operating mining segments which are located in Mexico, Guanaceví and Bolañitos. The Company has one development project in Mexico, Terronera, as well as Exploration and Corporate segments. The Exploration segment consists of projects in the exploration and evaluation phases in Mexico, Chile and the USA. Exploration projects that are in the local district surrounding a mine are included in the mine's segments.

   For three months ended March 31

   Revenue

   Cost of sales excluding depreciation

   Depreciation

   Mine operating earnings

   Net earnings and comprehensive earnings

   Guanaceví	2025	46,851	31,530	6,569	8,752	5,461
   	2024	49,082	33,280	5,815	9,987	4,283
   Bolañitos	2025	16,647	9,920	2,637	4,090	2,345
   	2024	14,643	9,912	3,062	1,669	1,327
   Terronera	2025	-	-	-	-	(33,646)
   	2024	-	-	-	-	(1,670)
   Exploration	2025	-	-	-	-	(3,228)
   	2024	-	-	-	-	(2,600)
   Corporate	2025	-	-	-	-	(3,839)
   	2024	-	-	-	-	(2,534)
   Consolidated	2025	63,498	41,450	9,206	12,842	(32,907)
   	2024	63,725	43,192	8,877	11,656	(1,194)

   The Exploration segment included $308 of costs incurred in Chile for the three months ended March 31, 2025 (March 31, 2024

   - $428) and $14 of costs incurred in USA (March 31, 2024 - $5).

   NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

   Three months ended March 31, 2025 and 2024 (unaudited)

   (expressed in thousands of US dollars, unless otherwise stated)

   Total Assets Total Liabilities Additions to fixed

   assets

   Guanaceví	March 31, 2025	$ 114,672	$ 42,242	$ 3,445
   	December 31, 2024	114,745	43,896	22,876
   Bolañitos	March 31, 2025	47,858	13,548	1,925
   	December 31, 2024	53,176	7,886	7,893
   Terronera	March 31, 2025	429,762	209,321	50,174
   	December 31, 2024	373,531	173,376	189,912
   Exploration	March 31, 2025	87,363	1,124	968
   	December 31, 2024	86,579	1,326	1,571
   Corporate	March 31, 2025	48,333	9,707	9
   	December 31, 2024	91,218	8,328	3
   Consolidated	March 31, 2025	$ 727,988	$ 275,942	$ 56,521
   	December 31, 2024	719,249	234,812	222,255

7. COMMITMENTS & CONTINGENCIES

   Commitments

   As of March 31, 2025, the Company had 6,918 committed for capital equipment purchases.

   Contingencies

   Due to the nature of the Company's activities, various legal and tax matters are outstanding from time to time. The Company is routinely subject to audit by tax authorities in the countries in which it operates and has received a number of tax assessments in various locations, which are currently at various stages of progress with the relevant authorities. The outcomes of these audits and assessments are uncertain however, the Company is confident of its position on the various matters under review.

8. FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS

   In connection with the Debt Facility (Note 7), on March 28, 2024, the Company entered into gold forward swap contracts to hedge against the fluctuation in gold prices. Company had forward swap contracts settlements that have been amended during the three months ended March 31, 2025 and will settle with updated settlements from June 2025 to October 2027 and a revised forward price for those settlements of $2,329 per ounce of gold.

   The Company also hedged a portion of the estimated remaining capital and operating expenditures incurred in Mexican Pesos. For the three months ended March 31, 2025, the Company settled $3,600 Mexican Peso forward purchase contracts and on settlement recorded a loss of $75. As of March 31, 2025, a further $45,000 contracts remain outstanding to be settled over the period from April 2025 to December 2026. The remaining contracts have a weighted average base price of 20.95 pesos per US dollar.

   As at March 31, 2025, the Company has revalued the forward contracts to their respective fair values and as a result recorded a loss of $33,731 on the gold swap contracts and a gain of $1,876 on the Mexican Peso contracts in the condensed consolidated interim statement of earnings and loss for the period. As of March 31, 2025, the Company carries the combined derivative liability of $58,714 in the statement of financial position, comprised of $25,416 current liability (December 31, 2024 - $10,232) and

   $33,298 non-current liability (December 31, 2024 - $16,627).

   NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

   Three months ended March 31, 2025 and 2024 (unaudited)

   (expressed in thousands of US dollars, unless otherwise stated)

   1. Financial assets and liabilities

      As at March 31, 2025, the carrying and fair values of the Company's financial instruments by category are as follows:

      	Fair value through profit or loss		Amortized cost		Carrying value		Fair value
      Financial assets: Cash and cash equivalents	$ -		$ 64,697		$ 64,697		$ 64,697
      Other investments	1,213		-		1,213		1,213
      Trade and other receivables	3,338		344		3,682		3,682
      Loans receivable	-		2,579		2,579		2,579
      Total financial assets	$ 4,551		$ 67,620		$ 72,171		$ 72,171
      Financial liabilities:
      Accounts payable, accrued liabilities and other current liabilities	$	4,478	$	55,074	$	59,552	$	59,552
      Derivative liabilities	58,714		-		58,714		58,714
      Loans payable	-		122,440		122,440		122,440
      Total financial liabilities	$ 63,192		$ 177,514		$ 240,706		$ 240,706

      As at December 31, 2024, the carrying and fair values of the Company's financial instruments by category are as follows:

      Fair value through Amortized cost				Carrying value		Fair value
      profit or loss Financial assets:
      Cash and cash equivalents	$ -		$ 106,434	$ 106,434		$ 106,434
      Other investments	1,070		-	1,070		1,070
      Trade and other receivables	3,310		355	3,665		3,665
      Loans receivable	-		2,556	2,556		2,556
      Total financial assets	$	4,380	$ 109,345	$	113,725	$	113,725
      Financial liabilities:
      Accounts payable, accrued liabilities and other current liabilities	$ 3,853		$ 50,090	$ 53,943		$ 53,943
      Derivative liabilities	26,859		-	26,859		26,859
      Loans payable	-		120,236	120,236		120,236
      Total financial liabilities	$ 30,712		$ 170,326	$ 201,038		$ 201,038
      (b) Fair value hierarchy

      Assets and liabilities as at March 31, 2025 measured at fair value on a recurring basis include:

      	Level 1	Level 2	Level 3	Total
      Financial assets:
      Other investments	$ 1,153	$ -	$ 60	$ 1,213
      Trade receivables	-	3,338	-	3,338
      Total financial assets	$ 1,153	$ 3,338	$ 60	$ 4,551
      Financial liabilities:				-
      Cash settled deferred share units	$ 4,467	$ -	$ -	$ 4,467
      Share appreciation rights	-	11	-	11
      Derivative liability	-	58,714	-	58,714
      Total financial liabilities	$ 4,467	$ 58,725	$ -	$ 63,192

      NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

      Three months ended March 31, 2025 and 2024 (unaudited)

      (expressed in thousands of US dollars, unless otherwise stated)

      Assets and liabilities as at December 31, 2024 measured at fair value on a recurring basis include:

      		Level 1	Level 2	Level 3	Total
      	Financial assets: Other investments	$ 1,050	$ -	$ 20	$ 1,070
      	Trade receivables	-	3,310	-	3,310
      	Total financial assets	$ 1,050	$ 3,310	$ 20	$ 4,380
      	Financial liabilities:
      	Cash settled deferred share units	$ 3,829	$ -	$ -	$ 3,829
      	Share appreciation rights	-	24	-	24
      	Derivative liability	-	26,859	-	26,859
      	Total financial liabilities	$ 3,829	$ 26,883	$ -	$ 30,712
      16.	SUBSEQUENT EVENTS
      	(a) Acquisition of Minera Kolpa

      On April 1, 2025, the Company announced it had entered into a definitive agreement to acquire all outstanding shares of Minera Kolpa, a privately held silver-focused polymetallic mining company located in Huancavelica, Peru. Acquisition closed on May 1, 2025. The total consideration is approximately $145,000, comprising of $80,000 in cash, $65,000 in Endeavour common shares, and up to $10,000 in contingent payments based on mineral resource expansion targets.

      As part of the transaction, Endeavour will also assume approximately $20,000 in net debt.

      Concurrently with the acquisition, Endeavour entered into a $35,000 copper stream agreement with Versamet Royalties Corporation that was used to fund the portion of the cash consideration of the Minera Kolpa acquisition. This agreement includes security over the acquired entity and provides Versamet the right of first refusal on future streaming arrangements. Under the terms of the stream:

      • Versamet will receive refined copper via LME Warrants, initially representing 95.8% of the copper produced.

      • Once 6,000 tonnes are delivered, the stream reduces to 71.85%, and after 10,500 tonnes, to 47.9%.

      • Versamet will pay 10% of the spot price per tonne, with the remaining 90% reducing the prepaid deposit.

        On April 8, 2025, the Company closed a $45,000 bought deal equity financing, consisting of the issuance of 11,600,000 common shares at a price of US$3.88 per share. On April 16, 2025 the underwriters exercised their over-allotment option with additional issuance of 1,285,000 Common Shares at a price of $3.88 per share. The net proceeds were used to fund a portion of the cash consideration for the Minera Kolpa acquisition.

   2. Grants of equity instruments

On April 2, 2025, the Company granted, 733,530 stock options with an exercise price of CAN$5.39. 119,475 DSUs issued to the directors of the Company, 299,900 PSUs which subject to performance criteria vest on April 2, 2028 and 269,490 restricted share units.

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

Three months ended March 31, 2025 and 2024 (unaudited)

(expressed in thousands of US dollars, unless otherwise stated)

HEAD OFFICE Suite #1130, 609 Granville Street Vancouver, BC, Canada V7Y 1G5 Telephone: [phone]

1-877-685-9775

Website: https://www.edrsilver.com

DIRECTORS Margaret Beck

Ricardo Campoy Daniel Dickson Amy Jacobsen Angela Johnson Rex McLennan Kenneth Pickering Mario Szotlender

OFFICERS Daniel Dickson - Chief Executive Officer Donald Gray - Chief Operating Officer Elizabeth Senez - Chief Financial Officer Greg Baylock - Vice President, Operations

Luis Castro - Senior Vice President, Exploration Dale Mah - Vice President, Corporate Development Alejandra Hincapie - Corporate Secretary

REGISTRAR AND Computershare Trust Company of Canada

TRANSFER AGENT 3rd Floor - 510 Burrard Street Vancouver, BC, Canada V6C 3B9

AUDITORS KPMG LLP

777 Dunsmuir Street

Vancouver, BC, Canada V7Y 1K3

SOLICITORS Blake, Cassels & Graydon LLP Suite #3500, 1133 Melville Street Vancouver, BC, Canada V6E 4E5 SHARES LISTED Toronto Stock Exchange Trading Symbol - EDR

New York Stock Exchange Trading Symbol - EXK