
Tower Fire triggers mass evictions from partitioned Dubai apartments
Officials blamed partitioned units for contributing to fire hazards and have begun aggressively enforcing housing regulations.
Egyptian migrant worker Hesham has lived in a two-bedroom flat carved up to fit 10 men. His "room" is a closet-sized space barely wide enough for a mattress. At US$270 a month, it was all he could afford — until now.
For low-paid migrant workers who power Dubai's service and construction sectors, the campaign has triggered panic. Many now fear eviction or fines, with no clear alternative for affordable housing in a city built for the wealthy. "We don't know what we'll do," said Hesham, 44, a salesman who spoke to the Associated Press under a first-name-only condition, fearing reprisals. "We don't have any other choice."
Dubai's population has surged to nearly four million and is projected to reach 5.8 million by 2040. Much of the city's real estate boom caters to affluent expatriates, with luxury high-rises and million-dollar properties multiplying. According to real estate firm Knight Frank, nearly 20 percent of homes in Dubai were worth more than $1 million as of last year. Meanwhile, short-term rental prices are forecast to rise another 18 percent by the end of 2025.
That growth has left a large portion of the city's residents — mostly migrants from Asia and Africa — priced out of legal housing. Many earn just $300 to $550 a month, and rely on partitioned flats or communal bunk-bed arrangements that cost as little as $100. By contrast, a one-bedroom legal unit averages around $1,400 a month, per Engel & Völkers.
Migrant workers typically send a significant portion of their earnings home, leaving them with little for housing. While UAE law mandates employers to provide accommodation for workers earning under $400 monthly, many are employed informally, beyond the reach of regulation.
"The crackdown will raise housing costs and create a lot of stress for people whose lives are already precarious," said Steffen Hertog, a Gulf labor expert at the London School of Economics.
The June blaze that triggered the latest crackdown occurred in Dubai Marina, an upscale district. Police reported 532 occupied units in the tower — an average of seven people per apartment. While no significant injuries were reported, the incident highlighted the risks of over-occupied and partitioned homes.
A deadlier fire in 2023 in Dubai's old Deira neighborhood claimed 16 lives and injured nine more. That apartment, too, had been illegally subdivided.
Dubai Municipality issued a statement saying the new inspections are intended to "ensure the highest standards of public safety" and improve tenants' quality of life. It did not respond to questions about where displaced low-income residents are expected to go.
For Ebony, a 28-year-old migrant from Ghana, the crackdown meant losing her shared loft space — a plywood bunk above a narrow cot. "They said we had to leave immediately," she recalled. "Now I sleep on a friend's floor. I don't know what comes next."
With begging outlawed, labor unions banned, and no minimum wage guarantees, workers like Ebony and Hesham are left in limbo. Dubai's shimmering skyline offers little shelter for those who built it.

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Globe and Mail
4 hours ago
- Globe and Mail
Japan presses U.S. to implement auto tariff cut, seeks clarification on other levies
Japan pressed the U.S. to swiftly implement an agreed cut to auto tariffs and sought clarification on levies for other goods, as conflicting interpretations of the bilateral trade deal further put pressure on Prime Minister Shigeru Ishiba's shaky administration. In a meeting with U.S. Secretary of Commerce Howard Lutnick in Washington on Wednesday, top trade negotiator Ryosei Akazawa urged the U.S. to implement at an early date an agreed cut to U.S. tariffs on Japanese auto and auto parts, Japan's government said. Akazawa also sought confirmation and 'immediate execution' of the two countries' agreement on U.S. levies for other goods imported from Japan, the government said in a statement released on Thursday. The meeting came hours before President Donald Trump's higher tariffs on dozens of trading partners kick in on Thursday, as Japan scrambles to clarify divergences with Washington on details of their bilateral trade deal. Under the deal clinched last month, the U.S. agreed to cut tariffs on Japanese car imports to 15 per cent from levies totalling 27.5 per cent previously, but did not announce a timeframe for the change to take effect. Trump's broad tariffs go into effect as economic pain in the U.S. surfaces While the two agreed that U.S. duties on most other Japanese goods will be cut to 15 per cent from 25 per cent effective Thursday, a lack of written confirmation of the deal has led to confusion over whether the new 15-per-cent tariffs will be stacked on top of existing levies. Japan argues the two countries had agreed its goods imported to the U.S. would be exempt from such 'stacking,' where they can be affected by multiple tariffs. Speaking in parliament on Tuesday, Akazawa said Japan wants to make sure goods such as Japanese beef, which already carries tariffs above 15 per cent, will not be charged the new 15-per-cent rate as an additional tariff. But a Federal Register attached to Trump's July 31 executive order that addressed tariff rates for many trading partners showed a 'no stacking' condition applies to the European Union, but no such clarification was issued for Japan. Japan's Asahi newspaper reported on Thursday, citing an unnamed White House official, that the U.S. will stack the tariffs, adding 15 per cent on all Japanese imports without applying exceptions for items that already have tariff rates above 15 per cent. In a regular news conference held after the Asahi report, Chief Cabinet Secretary Yoshimasa Hayashi said the U.S. was unlikely to stack 15-per-cent tariffs on existing levies. He said Akazawa confirmed the point with the U.S. side during his visit to Washington on Wednesday. Trump strikes tariff deal with Japan, auto stocks surge Given such discrepancies, Ishiba has been under attack in parliament and domestic media for not crafting a written joint statement stipulating details of the trade deal with the U.S. Ishiba defended the decision, telling parliament on Monday that Japan decided to forgo a written statement for fear that doing so could delay U.S. tariff reductions. Some lawmakers have warned a lack of written confirmation could backfire given Trump's unpredictable decision-making style. The confusion adds to trouble for Japan's shaky government led by Ishiba, who is facing calls to step down after the ruling coalition's huge loss in last month's upper house election. 'In negotiating with the U.S., Minister Akazawa at least ought to have nailed down exactly when U.S. automobile tariffs would be lowered to 15%,' ruling party heavyweight and former trade minister Ken Saito told Reuters on Tuesday. Yuichiro Tamaki, leader of opposition Democratic Party for the People, urged Akazawa to press Trump's administration harder to adhere to the bilateral agreement. 'After all, I do feel that a document on the agreement was necessary,' Tamaki wrote in an X post on Thursday.


Globe and Mail
6 hours ago
- Globe and Mail
Enhabit (EHAB) Q2 EPS Jumps 86%
Key Points Enhabit (NYSE:EHAB) outperformed earnings estimates, posting Non-GAAP EPS of $0.13 versus the expected $0.10. Quarterly revenue (GAAP) reached $266.1 million, exceeding analyst estimates and rising 2.1% from the prior year. Full-year 2025 guidance was raised for revenue, Adjusted EBITDA (non-GAAP), and Adjusted EPS (non-GAAP), reflecting management's improved outlook. These 10 stocks could mint the next wave of millionaires › Enhabit (NYSE:EHAB), a leading US provider of home health and hospice services, released its second quarter 2025 earnings on August 6, 2025. The report highlighted a modest revenue increase and stronger-than-expected profitability, with GAAP revenue exceeding analyst estimates and non-GAAP EPS surpassing expectations. GAAP revenue was $266.1 million, above the $263.4 million analyst expectation and up from $260.6 million in the prior year period. Non-GAAP earnings per share were $0.13, beating the consensus estimate of $0.10 and up from $0.07 a year earlier. Management raised full-year guidance for revenue, adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization), and adjusted EPS. The quarter showcased stability in home health and accelerated growth in the hospice segment, though some profit margins declined in home health. Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report. Business Overview and Key Success Factors Enhabit specializes in providing skilled home health and hospice care across 34 states. It delivers nursing, therapy, and specialized medical services to patients in their homes and offers end-of-life care through its hospice branches. With 249 home health and 114 hospice locations, Enhabit is one of the largest standalone operators in its sector. The business model relies on both Medicare and non-Medicare payers, blending government reimbursements with commercial contracts. Key focus areas include optimizing its mix of payer contracts, expanding value-based payment arrangements, and leveraging its dense branch network to improve operational efficiency. The company also invests heavily in predictive analytics and technology, aiming to enhance both outcomes and cost control. Success hinges on managing labor costs, navigating regulatory changes, and maintaining strong referral relationships in an aging demographic environment. Quarter in Review: Segment Results and Financial Trends Revenue (GAAP) grew 2.1%, with both segments reporting different trends. In home health, segment net service revenue (GAAP) declined 2.0% to $205.9 million, mainly due to a 4.7% drop in Medicare revenue. Non-Medicare home health revenue, however, rose 1.7% (GAAP) as payer contract strategies continued to show results. Total home health admissions grew 1.3% year over year, driven by a 5.2% rise in non-Medicare admissions. However, Medicare admissions dropped 3.7%, and recertifications, which track patients re-entering care, fell 2.7%. Profitability pressures in home health were clear. Adjusted EBITDA for the segment declined by 11.1% to $39.3 million, while the segment EBITDA margin compressed to 19.1% from 21.0% in Q2 2024. Controlling costs helped: home health cost per patient day was flat year over year despite labor market pressures. The company reduced visits per episode by 2.1% compared to Q2 2024, indicating improved efficiency but also raising questions about maintaining care quality. Revenue per episode increased 2.2%. The hospice segment provided the period's most notable gains. Hospice net service revenue (GAAP) jumped 19.4% year over year to $60.2 million. Admissions grew 8.7%, and average daily census, a critical measure of patients served each day, rose 12.3%. Segment Adjusted EBITDA (non-GAAP) reached $14.0 million, up 53.8% from the prior year. The hospice Adjusted EBITDA margin strengthened to 23.3%, up from 18.1% in Q2 2024. Cost control stood out: hospice cost per patient day increased just 1.0%, far below revenue per patient day growth of 6.3%, boosting margins. Enhabit opened three new locations in the period, signaling continued expansion. The company also paid down $10.0 million in debt, part of a broader deleveraging plan reducing overall interest expense. However, some challenging trends persist: home health Medicare census remains in decline, total segment revenue fell, and recertification rates (patients re-qualified for care) decreased. Segment Adjusted EBITDA margin in home health narrowed by 1.9 percentage points year over year (non-GAAP). On the hospice side, the discharged average length of stay slipped to 103 days from 108, a trend that may reduce profitability if it extends further. Enhabit is not a dividend-paying company. Strategy, Market Drivers, and Technology Home health care includes skilled nursing and therapy services provided to patients in their homes—an alternative to facility-based care. Hospice, in contrast, focuses on comfort and symptom management for terminally ill patients, typically provided in the patient's home. Enhabit's recent strategy prioritizes expanding payer innovation contracts—agreements that often link payments to care episodes and patient outcomes. Demographic tailwinds continue to support the industry, with the US senior population expected to reach 78.3 million by 2040. Enhabit's geographic scale, spread across 34 states, positions it to capture increasing demand for both service lines. The company's investments in technology have notable effects. It uses Medalogix Pulse, a predictive analytics platform, to optimize home health visit allocation by patient need, reducing unnecessary visits while maintaining care standards. Two internal apps, now in pilot testing, further streamline staff communication and referral management. Outlook and What to Watch Management raised its guidance for FY2025. Updated expectations for net service revenue (GAAP) are now between $1.060 and $1.073 billion for full-year 2025, compared to the previous guidance of $1.050 to $1.080 billion. Adjusted EBITDA is now guided to $104 to $108 million for 2025, up from $101 to $107 million previously. Adjusted EPS guidance increased to a range of $0.47 to $0.55 for 2025, compared to the previous range of $0.41 to $0.51. This reflects confidence in hospice momentum, continued operational efficiency, and ongoing cost control initiatives. The company did not announce any dividend policy changes, confirming it does not currently pay a dividend. For the rest of the year, investors should watch ongoing trends in home health Medicare volumes and margins, the company's success in renegotiating payer contracts, and whether technology continues to foster both productivity and quality. Contract renewals, regulatory changes, shifts in patient mix, and the impact of ongoing branch expansion all remain critical factors moving forward. Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted. Where to invest $1,000 right now When our analyst team has a stock tip, it can pay to listen. After all, Stock Advisor's total average return is 1,026%* — a market-crushing outperformance compared to 180% for the S&P 500. They just revealed what they believe are the 10 best stocks for investors to buy right now, available when you join Stock Advisor. *Stock Advisor returns as of August 4, 2025


Cision Canada
7 hours ago
- Cision Canada
LABRADOR IRON ORE ROYALTY CORPORATION - RESULTS FOR THE SECOND QUARTER ENDED JUNE 30, 2025
TORONTO, Aug. 6, 2025 /CNW/ - To the Holders of Common Shares of Labrador Iron Ore Royalty Corporation The Directors of Labrador Iron Ore Royalty Corporation ("LIORC" or the "Corporation") present the second quarter report for the period ended June 30, 2025. Financial Performance In the second quarter of 2025, LIORC's financial results were negatively affected by lower iron ore prices and lower pellet premiums, partly offset by higher concentrate for sale ("CFS") sales tonnages. Royalty revenue for the second quarter of 2025 of $46.2 million was 12% lower than the second quarter of 2024 and 30% higher than the first quarter of 2025. Equity earnings from Iron Ore Company of Canada ("IOC") were $2.3 million in the second quarter of 2025 compared to $18.5 million in the second quarter of 2024 and $3.3 million in the first quarter of 2025. Net income per share for the second quarter of 2025 was $0.42 per share, which was a 46% decrease over the same period in 2024 and a 27% increase over the first quarter of 2025. The adjusted cash flow per share for the second quarter of 2025 was $0.40 per share, which was 64% lower than in the same period in 2024 and 30% higher than the first quarter of 2025. LIORC received no dividend from IOC in the second quarter of 2025, compared to a dividend from IOC in the amount of $41.5 million in the second quarter of 2024. While adjusted cash flow is not a recognized measure under IFRS Accounting Standards, the Directors believe that it is a useful analytical measure as it better reflects cash available for dividends to shareholders. Iron ore prices decreased during the second quarter of 2025 as a result of lower steel demand, particularly from within China due to continuing issues with China's property sector. At the same time, the supply of global seaborne iron ore remained robust. According to the World Steel Association, global crude steel production was down 1% in the second quarter of 2025 compared to the prior quarter and was down 3% in the second quarter of 2025 compared to the second quarter of 2024, with most of that decline coming from China which was down 5%. On the supply side, shipments in the quarter ended June 30, 2025 for the world's three largest iron ore producers (Rio Tinto, Vale and BHP) were relatively consistent year over year (-1%, -3% and +2%, respectively) and increased over the last quarter by 15%, 17% and 15%, respectively. IOC sells CFS based on the Platts index for 65% Fe, CFR China ("65% Fe index"). All references to tonnes and per tonne prices in this report refer to wet metric tonnes, other than references to Platts quoted pricing, which refer to dry metric tonnes. Historically, IOC's wet ore contains approximately 3% less ore per equivalent volume than dry ore. In the second quarter of 2025, the 65% Fe index averaged US$108 per tonne, a 7% decrease over the prior quarter and a 14% decrease over the average of US$126 per tonne in the second quarter of 2024. The monthly Atlantic Blast Furnace 65% Fe pellet premium index as quoted by Platts (the "pellet premium") averaged US$35 per tonne in the second quarter of 2025, down 18% from an average of US$43 per tonne in the same quarter of 2024, as lower steel margins continued to cause steel producers to substitute higher quality pellets with less expensive lower quality iron ore. Rio Tinto has disclosed that the average realised price achieved for IOC pellets, FOB Sept Îles, in the second quarter of 2025 was US$127 per tonne, compared to US$148 per tonne in the same quarter of 2024. Based on sales as reported for the LIORC royalty, the overall average price realized by IOC for CFS and pellets, FOB Sept-Îles, net of freight charges was approximately US$107 per tonne in the second quarter of 2025, compared to approximately US$127 per tonne in the second quarter of 2024. Iron Ore Company of Canada Operations Operations IOC concentrate production in the second quarter of 2025 of 4.5 million tonnes was 16% higher than the same quarter of 2024, and 5% higher than the first quarter of 2025. In the second quarter of 2025 IOC continued to focus on improving the pit health of the mining operations. Total mine material moved increased by 24% over the same quarter last year, as a result of increased truck payloads and higher contractor movement of material. However, the higher material movement was partially offset by a higher strip ratio as a result of limited ore availability, resulting in a 13% increase over the same quarter of 2024 in ore delivered to the concentrator. While concentrate production in the second quarter of 2025 continued to be negatively impacted by a lower weight yield due to a lower spiral plant performance, there was a slight improvement relative to recent prior quarters. IOC saleable production (CFS plus pellets) of 4.2 million tonnes in the second quarter of 2025 was 14% higher than the same quarter of 2024. Pellet production of 2.2 million tonnes was 4% higher than the corresponding quarter in 2024, predominantly as a result of equipment reliability issues and a site wide power outage that negatively impacted operations in the second quarter of 2024. CFS production of 2.0 million tonnes was 27% higher than the same quarter of 2024 mainly due to the higher production of concentrate referred to above. Sales as Reported for the LIORC Royalty Total iron ore sales tonnage by IOC (CFS plus pellets) of 4.6 million tonnes in the second quarter of 2025 was 10% higher than the total sales tonnage for the same period in 2024 and 43% higher than the first quarter of 2025. The increase in IOC sales tonnage was largely a result of increased availability of inventory and timing of vessels. Pellet sales tonnages were 2% lower than the same quarter of 2024 and 15% higher than the first quarter of 2025. CFS sales tonnages were 28% higher than the same quarter of 2024 and 98% higher than the first quarter of 2025. Outlook In its second quarter production report, Rio Tinto disclosed that the 2025 guidance for IOC's saleable production (CFS plus pellets) remains at 16.5 million to 19.4 million tonnes. This compares to 16.1 million tonnes of saleable production in 2024 and 8.2 million tonnes of saleable production in the first half of 2025. IOC has updated its outlook for capital expenditures in 2025. IOC is now forecasting that its 2025 capital expenditure will be US$299 million, down from the originally budgeted US$342 million. To date, IOC's capital expenditures are on track with the updated forecast. Since the end of the second quarter, iron ore prices have remained relatively stable, while pellet premiums have continued to decline. In July 2025, the 65% Fe index averaged US$112 per tonne and the July pellet premium was US$27 per tonne. Longer term the outlook for iron ore prices remains challenging. According to S&P Global Commodity Insights prices for the Platts index for 62% Fe, CFR China ("62% Fe index") are projected to average $97 per tonne in 2025 gradually declining to $80 per tonne by 2029, as a result of a combination of increasing global supply and softening steel demand, especially from China, before recovering to $95 per tonne by 2035 as trade balances tighten. The expected surplus in seaborne iron ore is largely driven by the launch of the Simandou greenfield project in Guinea and increasing exports from Brazil. The demand for steel in China is expected to remain muted as a result of the protracted slowdown in the domestic property sector, and the rising trade tensions from US-China tariffs. The recent anti-dumping measures imposed by India and Southeast Asian nations are anticipated to restrict China's steel exports. On a more optimistic note, S&P Global Commodity Insights expects the premium for high-grade iron ore (65% Fe Index over the 62% Fe Index) to increase in the long run as the steel industry increases the use of high-grade iron ore as a means to lower carbon emissions. LIORC has no debt and at June 30, 2025 had positive net working capital (current assets less current liabilities) of $29 million, which included the second quarter net royalty payment received from IOC on July 25, 2025 and the LIORC dividend in the amount of $0.30 per share paid to shareholders on the next day. Respectfully submitted on behalf of the Directors of the Corporation, John F. Tuer President and Chief Executive Officer August 6, 2025 Management's Discussion and Analysis The following discussion and analysis should be read in conjunction with the Management's Discussion and Analysis section of Labrador Iron Ore Royalty Corporation's ("LIORC" or the "Corporation") 2024 Annual Report, and the financial statements and notes contained therein and the June 30, 2025 interim condensed consolidated financial statements. Overview of the Business The Corporation's revenues are entirely dependent on the operations of IOC as its principal assets relate to the operations of IOC and its principal source of revenue is the 7% royalty it receives on all sales of iron ore products by IOC. In addition to the volume of iron ore sold, the Corporation's royalty revenue is affected by the price of iron ore and the Canadian – U.S. dollar exchange rate. The first quarter sales of IOC are traditionally adversely affected by the general winter operating conditions and are usually 15% – 20% of the annual volume, with the balance spread fairly evenly throughout the other three quarters. Because of the size of individual shipments, some quarters may be affected by the timing of the loading of ships that can be delayed from one quarter to the next. Financial Highlights (1) This is a non-IFRS financial measure and does not have a standard meaning under IFRS. Please refer to Standardized Cash Flow and Adjusted Cash Flow section in the MD&A. The lower revenue, net income and equity earnings from IOC achieved in the second quarter of 2025 as compared to 2024 were mainly due to lower iron ore prices and lower pellet premiums, partly offset by higher sales tonnages. The second quarter of 2025 sales tonnages (CFS plus pellets) were higher by 10%, predominantly due to an increase in the availability of inventory as a result of increased production levels. While CFS sales tonnages were 28% higher than the same quarter in 2024, pellet sales tonnages were 2% lower. The lower iron ore prices and pellet premiums, partly offset by higher sales tonnages, resulted in royalty revenue of $46.2 million for the quarter as compared to $52.3 million for the same period in 2024. Second quarter 2025 cash flow from operations was $17.7 million or $0.28 per share compared to $82.1 million or $1.28 per share for the same period in 2024. LIORC received no IOC dividend in the second quarter of 2025 compared to $41.5 million or $0.65 per share for the same period in 2024. Equity earnings from IOC amounted to $2.3 million or $0.04 per share in the second quarter of 2025 compared to $18.5 million or $0.29 per share for the same period in 2024. Operating Highlights (1) For calculating the royalty to LIORC. (2) Excludes third party ore sales. (3) Totals may not add up due to rounding. (4) The Platts index for 65% Fe, CFR China. (5) The Platts index for 62% Fe, CFR China. (6) The Platts Atlantic Blast Furnace 65% Fe pellet premium index. IOC sells CFS based on the 65% Fe index. In the second quarter of 2025, the 65% Fe index averaged US$108 per tonne, a 14% decrease over the average of US$126 per tonne in the second quarter of 2024, as a result of lower steel demand, particularly from within China due to continuing issues with China's property sector. At the same time, the supply of global seaborne iron ore remained robust. The monthly pellet premium averaged US$35 per tonne in the second quarter of 2025, down 18% from an average of US$43 per tonne in the same quarter of 2024, as lower steel margins continued to cause steel producers to substitute higher quality pellets with less expensive lower quality iron ore. Based on sales as reported for the LIORC royalty, the overall average price realized by IOC for CFS and pellets, FOB Sept-Îles, net of freight charges was approximately US$107 per tonne in the second quarter of 2025 compared to approximately US$127 per tonne in the second quarter of 2024. The decrease in the average realized price FOB Sept-Îles in 2025 was a result of lower CFS prices and lower pellet premiums, as well as a lower percentage of pellet sales. The following table sets out quarterly revenue, net income, cash flow and dividend data for 2025, 2024 and 2023. Due to seasonal weather patterns the first and fourth quarters generally have lower production and sales. Royalty revenues and equity earnings in IOC track iron ore spot prices, which can be very volatile. Dividends, included in cash flow, are declared and paid by IOC irregularly according to the availability of cash. (1) "Adjusted cash flow" (see below). (2) Includes $41.5 million IOC dividend. (3) Includes $20.3 million IOC dividend. (4) Includes $21.8 million IOC dividend. (5) Includes $19.9 million IOC dividend. (6) Includes $30.5 million IOC dividend. Standardized Cash Flow and Adjusted Cash Flow For the Corporation, standardized cash flow is the same as cash flow from operating activities as recorded in the Corporation's cash flow statements as the Corporation does not incur capital expenditures or have any restrictions on dividends. Standardized cash flow per share was $0.28 for the quarter (2024 - $1.28). The Corporation also reports "Adjusted cash flow" which is defined as cash flow from operating activities after adjustments for changes in amounts receivable, accounts payable and income taxes recoverable and payable. It is not a recognized measure under IFRS. The Directors believe that adjusted cash flow is a useful analytical measure as it better reflects the cash available for dividends to shareholders. The following reconciles standardized cash flow from operating activities to adjusted cash flow. Liquidity and Capital Resources The Corporation had $4.8 million in cash as at June 30, 2025 (December 31, 2024 - $42.3 million) with total current assets of $57.5 million (December 31, 2024 - $95.1 million). The Corporation had working capital of $28.5 million as at June 30, 2025 (December 31, 2024 - $34.1 million). The Corporation's operating cash flow was $17.7 million and the dividend paid during the quarter was $32.0 million, resulting in cash balances decreasing by $14.3 million during the second quarter of 2025. Cash balances consist of deposits in Canadian dollars with a Canadian chartered bank. Amounts receivable primarily consist of royalty payments from IOC. Royalty payments are received in U.S. dollars and converted to Canadian dollars on receipt, usually 25 days after the quarter end. The Corporation does not normally attempt to hedge this short-term foreign currency exposure. Operating cash flow of the Corporation is sourced entirely from IOC through the Corporation's 7% royalty, 10 cents commission per tonne and dividends from its 15.10% equity interest in IOC. The Corporation normally pays cash dividends from its free cash flow generated from IOC to the maximum extent possible, subject to the maintenance of appropriate levels of working capital. The Corporation has a $30 million revolving credit facility with a term ending September 18, 2026 with provision for annual one-year extensions. No amount is currently drawn under this facility (2024 – nil) leaving $30.0 million available to provide for any capital required by IOC or requirements of the Corporation. Disclosure Controls and Internal Control over Financial Reporting Management is responsible for establishing and maintaining adequate disclosure controls and procedures and internal control over financial reporting as defined in National Instrument 52-109 - Certification of Disclosure in Issuers' Annual and Interim Filings. Internal control, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives and due to its inherent limitations, may not prevent or detect all misrepresentations. There have been no changes in the Corporation's internal controls over financial reporting during the three-month period ended June 30, 2025, that have materially affected, or are reasonably likely to materially affect, the Corporation's internal control over financial reporting. For the quarter ended June 30, 2025, the Chief Executive Officer and the Chief Financial Officer concluded that Labrador Iron Ore Royalty Corporation's disclosure controls and procedures, and internal control over financial reporting are designed to provide reasonable assurance regarding the reliability of information disclosed in its filings, including its interim financial statements prepared in accordance with IFRS. John F. Tuer President and Chief Executive Officer Toronto, Ontario August 6, 2025 Forward-Looking Statements This report may contain "forward-looking" statements that involve risks, uncertainties and other factors that may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Words such as "may", "will", "expect", "believe", "plan", "intend", "should", "would", "anticipate" and other similar terminology are intended to identify forward-looking statements. These statements reflect current assumptions and expectations regarding future events and operating performance as of the date of this report. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to vary significantly, including iron ore price and volume volatility; the performance of IOC; market conditions in the steel industry; fluctuations in the value of the Canadian and U.S. dollar; mining risks that cause a disruption in operations and availability of insurance; disruption in IOC's operations caused by natural disasters, severe weather conditions and public health crises, including the COVID-19 outbreak; failure of information systems or damage from cyber security attacks; adverse changes in domestic and global economic and political conditions; changes in government regulation and taxation; national, provincial and international laws, regulations and policies regarding climate change that further limit the emissions of greenhouse gases or increase the costs of operations for IOC or its customers; changes affecting IOC's customers; competition from other iron ore producers; renewal of mining licenses and leases; relationships with indigenous groups; litigation; and uncertainty in the estimates of reserves and resources. A discussion of these factors is contained in LIORC's annual information form dated March 11, 2025 under the heading, "Risk Factors". Although the forward-looking statements contained in this report are based upon what management of LIORC believes are reasonable assumptions, LIORC cannot assure investors that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this report and LIORC assumes no obligation, except as required by law, to update any forward-looking statements to reflect new events or circumstances. This report should be viewed in conjunction with LIORC's other publicly available filings, copies of which can be obtained electronically on SEDAR+ at Notice: The following unaudited interim condensed consolidated financial statements of the Corporation have been prepared by and are the responsibility of the Corporation's management. The Corporation's independent auditor has not reviewed these interim financial statements. Approved by the Directors, John F. Tuer Director Director INTERIM CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the Three Months Ended June 30, (in thousands of Canadian dollars except for per share information) 2025 2024 (Unaudited) Revenue IOC royalties $ 46,222 $ 52,286 IOC commissions 457 416 Interest and other income 111 423 46,790 53,125 Expenses Newfoundland royalty taxes 9,244 10,457 Amortization of royalty and commission interests 1,670 1,647 Administrative expenses 742 684 11,656 12,788 Income before equity earnings and income taxes 35,134 40,337 Equity earnings in IOC 2,273 18,495 Income before income taxes 37,407 58,832 Provision for income taxes Current 11,029 12,597 Deferred (142) (3,939) 10,887 8,658 Net income for the period 26,520 50,174 Other comprehensive income Share of other comprehensive income of IOC that will not be reclassified subsequently to profit or loss (net of income taxes of 2025 - $52; 2024 - $139) 296 785 Comprehensive income for the period $ 26,816 $ 50,959 Basic and diluted income per share $ 0.42 $ 0.78 LABRADOR IRON ORE ROYALTY CORPORATION INTERIM CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the Six Months Ended June 30, (in thousands of Canadian dollars except for per share information) 2025 2024 (Unaudited) Revenue IOC royalties $ 81,790 $ 108,269 IOC commissions 777 846 Interest and other income 391 669 82,958 109,784 Expenses Newfoundland royalty taxes 16,358 21,654 Amortization of royalty and commission interests 3,326 3,269 Administrative expenses 1,536 1,515 21,220 26,438 Income before equity earnings and income taxes 61,738 83,346 Equity earnings in IOC 5,536 52,819 Income before income taxes 67,274 136,165 Provision for income taxes Current 19,495 25,933 Deferred (162) 731 19,333 26,664 Net income for the period 47,941 109,501 Other comprehensive income Share of other comprehensive income of IOC that will not be reclassified subsequently to profit or loss (net of income taxes of 2025 - $52; 2024 - $139) 296 785 Comprehensive income for the period $ 48,237 $ 110,286 Basic and diluted income per share $ 0.75 $ 1.71 The complete consolidated financial statements for the second quarter ended June 30, 2025, including the notes thereto, are posted on and