The company, which produces silver and gold from six mines in Mexico, reported profit of $425.0 million for the year ended Dec. 31, compared with $69.4 million reported a year earlier. Total revenue rose 31.9 percent to $1.91 billion.
Fresnillo shares eased 2 percent in morning trading on the London Stock Exchange, largely in line with a wider fall in mining stocks <.FTNMX1770>.
The company's results were boosted almost equally by stronger production and cost-control, as they were by an increase in metal prices and depreciation of the peso, Chief Executive Octavio Alvídrez told reporters on a call.
"My enthusiasm for improved market conditions is somewhat tempered by their current unpredictability," he added.
Gold prices
Meanwhile, the peso
The currency's slide has boosted revenues for miners, who incur most of their costs in pesos, while earning in dollars.
Some analysts say the worst may be over for peso, but the currency is expected to remain weak throughout this year, a Reuters poll showed this month.
As miners across the board resume handsome dividends, Fresnillo set a final dividend of 21.5 cents per share, compared with 3.35 cents a year earlier.
The company said its full-year silver production rose 7.1 percent to 50.3 million ounces, while gold production for the year was up 22.8 percent to 935,513 ounces.
Capital expenditure for the year was $434.1 million, 8.6 percent lower than 2015 and below guidance.
(Reporting by Sanjeeban Sarkar in Bengaluru and Barbara Lewis in London; Editing by Amrutha Gayathri)
By Sanjeeban Sarkar