Latest news with #recordrevenue
Yahoo
4 days ago
- Business
- Yahoo
Franco-Nevada Corporation (FNV) Reported Results for its Fiscal Q2 2025
Franco-Nevada Corporation (NYSE:FNV) is one of the Best Performing Canadian Stocks So Far in 2025. On August 11, Franco-Nevada Corporation (NYSE:FNV) reported results for its fiscal second quarter of 2025. The company reported record revenue of $369.4 million, reflecting a 42% increase year-over-year. The operating cash flow and net income also reached new records after growing 121% and 65% year-over-year, respectively. Management noted that higher gold prices helped achieve these record figures. An aerial view of a large gold mine showing the extensive activity of natural resource extraction. In addition, Franco-Nevada Corporation (NYSE:FNV) also made strategic progress by acquiring a royalty on IAMGOLD's Côté Gold Mine, which is one of Canada's newest large-scale gold mines, and also secured a royalty on AngloGold's Arthur Project, one of the largest gold discoveries in Nevada. Management updated the 2025 guidance and now expects Precious Metal GEO sales in the range of 385,000 GEO to 425,000 GEO. Franco-Nevada Corporation (NYSE:FNV) is a Canadian company that focuses on gold royalties and streaming. It owns a diverse portfolio of mining assets across precious metals, other mining resources, and energy across multiple regions in the Americas. While we acknowledge the potential of FNV as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
6 days ago
- Automotive
- Globe and Mail
Worksport Q2 Revenue Jumps 114 Percent
Worksport (NASDAQ:WKSP) reported fiscal Q2 2025 results on August 13, 2025, delivering record quarterly revenue of $4.1 million, up 114% year over year. Gross margin improved to 26.4%, an increase of nearly 800 basis points. Management reaffirmed its revenue target of at least $20 million for fiscal 2025, highlighted the upcoming launch of new high-margin products, and projected operating cash flow breakeven by late Q4 2025 or early Q1 2026, positioning the company for near-term profitability and further scalability. Record sales and margin gains propel Worksport expansion The tonneau cover division accounted for all current revenue, but new product segments are expected to contribute starting in fiscal Q4 2025. Operating expenses remained essentially flat compared to the prior quarter despite significantly higher revenues, and inventory levels were stable at $5.88 million, with demand outpacing production. "Net sales reached $4.1 million, representing a 114% year-over-year growth compared to $1.92 million in 2024 and an 83% sequential increase from 2025. This growth was driven by the continued ramp-up of our flagship AL4 premium tonneau cover, expanding dealer adoption and order frequency, and sustained strength in e-commerce sales across our direct-to-consumer channels. Gross profit for the quarter rose 173% to $1.8 million compared to $396,000 in 2025. Gross margin improved under 800 basis points to 26.4%, up from 17.7% in Q1 and 15.4% in Q2 of last year, marking our third consecutive quarter of market margin expansion. This sustained improvement reflects continued operational efficiencies and a favorable mix of new B2B and B2C sales." -- Michael Johnston, CFO Worksport's margin trajectory and strong sales momentum demonstrate operational leverage and channel diversification, reducing execution risk against breakeven and growth targets while highlighting a scalable model that can absorb further volume without proportionate cost escalation. Dealer network growth accelerates Worksport's addressable revenue The dealer network expanded by over 450 accounts year to date as of fiscal Q2 2025, up from 94 at the end of the previous year, supported by the addition of two national distributors. At current levels, network capacity supports more than $21.5 million in potential annual B2B revenue, excluding direct-to-consumer e-commerce sales. "In Q2 2025, we added two national distributors to our dealer network. In April, we added Patriot Auto Group, which brought with them 200 dealers under the Worksport dealer network. In June, we added another national distributor with access to approximately an additional 250 dealer accounts. At full activation, Worksport estimates that our distribution network as of Q2 can support over $21.5 million in repeatable annual revenue alone, not including business-to-consumer direct sales via our online platforms. Driven by ongoing B2B traction and demand for our premium American-made tonneau." -- Steven Rossi, CEO This rapid increase in B2B network scale significantly broadens Worksport's baseline revenue potential, improves recurring sales visibility, and strengthens its position for both organic and future product-driven growth initiatives. Clean energy product pipeline positions Worksport for 2026 profitability inflection Early pilot adoption by a U.S. construction agency and substantial inbound corporate and government interest in AetherLux highlight strong market receptivity to the clean energy portfolio. TerraVise Energy, a Worksport subsidiary, advanced AetherLux from lab to commercial testing and began manufacturer selection for product certification in fiscal Q2 2025. "Core and Solis together function as Worksport's portable nano grid. In 2025, this system was selected by a multi-dollar US construction agency for a pilot project for fleet use. Testing and use are ongoing. Together, Core and Solis position Worksport within the fast-growing broader portable energy market, a space the company believes will be a key to long-term profitability. A little bit about AetherLux. On February 11, 2025, we introduced AetherLux, a cold climate heat pump featuring two industry-first innovations. First, zero frost, no defrost cycles. Continuous operation without the traditional defrost interruptions that reduce efficiency in freezing conditions. And ultra-low temperature performance. The Aetherlux operates in ambient temperatures as low as negative 59.6 degrees Fahrenheit, which is about 51 degrees Celsius. Far beyond the capabilities of typical commercial heat pumps, enabling its use in extreme arctic environments. Since the launch of AetherLux, we have attracted significant interest from major global corporations, federal governments, and numerous distributors with inbound inquiries potentially surpassing hundreds of millions of dollars in revenue opportunities. In Q2 2025, TerraVise Energy, our subsidiary company, had achieved numerous milestones on this disruptive technology. It has advanced Aetherlux heat pumps from lab testing to commercial testing, initiated manufacturer selection for product certification, continued R&D optimization of Zero Frost technology, and began evaluating strategic business opportunities. Management believes Aetherlux could have a meaningful impact on Worksport's 2026 balance sheet supported by its position in the $123 billion global market." -- Steven Rossi, CEO The imminent commercialization of proprietary clean energy products diversifies Worksport's revenue streams, accelerates the pathway to profitability in 2026, and establishes the company as a differentiated player at the intersection of automotive and portable energy markets. Looking Ahead Management reaffirmed its full-year 2025 revenue target of at least $20 million and projects operating cash flow breakeven by late Q4 2025 or early Q1 2026. AetherLux is anticipated to deliver a meaningful positive financial impact in 2026, with more detailed forecasts forthcoming in Q4 2025. The ongoing Regulation A offering may fully fund operations through the remainder of 2025 and into 2026, with future capital needs expected to be met through existing warrants or non-dilutive financing. 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 1,060%* — a market-crushing outperformance compared to 182% 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. See the stocks » *Stock Advisor returns as of August 13, 2025
Globe and Mail
7 days ago
- Business
- Globe and Mail
Zedcor Inc. Reports Quarterly Results, Including $13.5 Million in Revenue and $4.9 Million in Adjusted EBITDA for the Second Quarter 2025
Calgary, Alberta--(Newsfile Corp. - August 12, 2025) - Zedcor Inc. (TSXV: ZDC) ("Zedcor" or the "Company") is pleased to announce its financial and operating results for the three and six months ended June 30, 2025. Highlights include: Record quarterly revenue of $13.5 million, representing an increase of 84% year-over-year and 18% quarter-over-quarter Record quarterly Adjusted EBITDA of $4.9 million, representing an increase of 83% year-over-year Q2 2025 revenues and Adjusted EBITDA represent the sixth straight quarter of the Company exceeding analyst consensus Adjusted EBITDA margin was 36%, driven by strong contribution margins in Canada, continued US growth and increased operational efficiency from its AI at-the-edge cameras Deployed 316 MobileyeZ TM security towers during the three months ended June 30, 2025 and 547 for the six months; these security towers were deployed throughout North America, with a focus on US expansion; Zedcor exited Q2 2025 with a total fleet of 1,882 MobileyeZ TM security towers Product innovation continued as deployments of the wall-mounted ZBox units eclipsed 115 in Canada Realized total fleet utilization rates above 90% for the quarter U.S. revenue was 32% of total revenue for Q2 2025 and 31% of total revenue for the six months ended June 30, 2025 Zedcor generated revenue of $13.5 million for the three months ended June 30, 2025, and Adjusted EBITDA of $4.9 million. Revenue and Adjusted EBITDA generated in the quarter were both record highs for the Company. Furthermore, the Company successfully continued its revenue growth initiatives during the quarter, which was reflected in the revenue and Adjusted EBITDA results. Zedcor generated record daily revenue from its fleet of MobileyeZ TM security towers while successfully deploying 316 new MobileyeZ TM towers throughout North America, with growth focused in the U.S., but balanced between Canada and the U.S. Notably, fleet-wide MobileyeZ TM utilization rate exceeded 90% for the quarter. The Company has onboarded a number of new customers in all verticals and continues to see growing demand in its residential home construction services. The U.S. accounted for 32% of the Company's second quarter revenue. The utilization rate for the fleet of security towers in the U.S. is near 100% and the Company continues to see strong demand. In addition, the Company has continued to establish its service offering throughout the state of Texas and into a number of other cities across the southern USA. Zedcor also experienced growth in Canada and the Company experienced revenue growth and strong utilization rates during the quarter. Todd Ziniuk, President and CEO of Zedcor, commented: "We are extremely pleased with the pace of our expansion in the U.S. and the sustained demand we are experiencing in Canada. Our continued investments in sales capabilities, operational infrastructure, and technology are driving strong momentum across both markets. Today we have the capacity to service the Southern U.S., Colorado, the Midwest, and our recently added regions of Arizona and Nevada. Looking ahead, we are developing strategic plans to establish locations in a number of key regions in late 2025 and 2026. "We remain committed to delivering turnkey, innovative security solutions with industry leading service levels, and are on track to achieve our 2025 manufacturing target of 1,200 to 1,400 security towers. We are also advancing initiatives to strengthen our supply chain and capture additional economies of scale which we expect will reduce per unit capital costs. "Our pipeline of opportunities with major national enterprises continues to grow, including discussions with some of the largest organizations in North America. These relationships have the potential to unlock multi-market, multi-year deployments, further solidifying our leadership positions in mobile surveillance." FINANCIAL & OPERATING RESULTS FOR THE THREE MONTHS ENDED MARCH 31, 2025: 1 See Financial Measures Reconciliations below Zedcor recorded $13,536 of revenue for the three months ended June 30, 2025. This compares to $7,372 of revenue for the three months ended June 30, 2024. The revenue increase of 84% year over year was due to: the execution of the strategic initiative for US expansion; diversification of our customer base and attracting new customers across the US and Canada and; meeting the strong customer demand through the production and deployment of MobileyeZ TM towers. This growth in revenue was offset by lower security personnel revenue, camera sales, and other service revenue. Quarter over quarter, the Company's total revenue was up $2,060 or 18% and Adjusted EBITDA was up $824 or 20%. Revenue increased quarter over quarter as a result of a larger fleet of security towers, revenue growth in the US and Canada through customer acquisition, and growing revenues from existing customers in both regions. Adjusted EBITDA was $4,933 for the three months ended June 30, 2025, compared to $2,695 for the three months ended June 30, 2024. This was an increase of $2,238 or 83%. Adjusted EBITDA increased year over year due to higher revenues and operating cost controls, offset by the increase in administrative and sales staff costs. Adjusted EBITDA margin for the three months ended June 30, 2025 and three months ended June 30, 2024 has held steady at 36% as the Company has carefully managed costs while growing revenue. The Company's security and surveillance services continued to see strong demand and growth in revenues for the three months ended June 30, 2025 due largely to increased customer demand of its larger fleet of MobileyeZ security towers and expanded US presence. Utilization rates remain strong above 90% throughout Q2 2025 for the companies US and Canada fleet. Financial and operational highlights for the three and six months ended June 30, 2025 include: For the three months ended June 30, 2025 net income before tax was $460 compared to a net income before tax of $1,409 for the three months ended June 30, 2024. The decrease in net income year over year is primarily attributable to other income of $1,373 in 2024 related to the sale of the Company's Rental segment assets. Excluding the impact of other income, net income for the three months ended June 30, 2024 would have been $36, resulting in an increase of $424 from higher revenues and cost controls. On February 5, 2025, the Company closed a bought deal equity financing for $25,311 on a bought deal share financing at a price of $3.35 per share. The Company issued 7.6 million common shares. This funding, along with the increased banking facilities secured in Q4 2024 will continue and allow the Company to expedite its growth in the US. Expansion into strategic US markets including all major metros in Texas (Houston, Dallas, San Antonio, Austin, and Midland), Denver, Colorado, Phoenix, Arizona and Las Vegas, Nevada. The Company has seen demand for its security services outside of Texas and its locations that have been established for less than a year are seeing rapid growth. Significant customer wins in the residential home building segment across Texas, in Denver, Las Vegas, and across Canada as well. We anticipate demand in this vertical to continue to increase as we expand our footprint in the US. As the Company increases its fleet of MobileyeZ TM and expands geographically, the risk related to customer concentration has decreased. Zedcor's services continue to be customer and industry agonistic and the Company was able to diversify its customer base across the construction industry, and into retail security and logistics. Continued traction across Canada with the Company's established base of customers as well as expansion with new customers. The Company's intention to diversify its geographical footprint and grow its customer base is yielding results and is continuing to see strong demand for the Company's service offering across this region. On track US expansion. Zedcor exited Q2 2025 with 746 MobileyeZ TM located in the US, expanded the base of operations with the ability to serve customers across Texas and Colorado, and continued positive business development with both existing and new US customers. During Q2 the Company has also established operations in Phoenix, Arizona, and Las Vegas, Nevada. As at June 30, 2025 the company has over 100 ZBoxes located in Canada as compared to 54 Zboxes as at December 31, 2024. The Company continued to develop and expand its manufacturing capabilities. Zedcor has manufactured over 316 of its Solar MobileyeZ TM Security Towers in Q2 2025 and 547 for the six months ended June 30, 2025. The Company continues to ramp up the production capacity out of its Houston, Texas facility to meet the customer demand in the US. This equates to 20 towers per week throughout most of Q2 2025. As at the end of Q2 2025, the Company has the ability to manufacture 30-35 security towers per week. To support this increase the Company is actively managing its component suppliers and supply chains, while finding efficiencies to streamline manufacturing. The Company is assessing the impact of tariffs. Cameras for its 2025 fleet expansion were ordered late in 2024 and the supplier does not intend to adjust prices, while approximately 35% of steel components were also procured prior to tariffs being imposed. Raw steel components comprise less than 10% of total capital costs of each MobileyeZ TM Security Tower. The Company is focusing on improving its economies of scale to support customer demand as it continues to expand across the US. While focusing on efficiencies and manufacturing volume, the Company is concentrating on reducing its exposure to cost increases as a result of tariffs. SELECTED QUARTERLY FINANCIAL INFORMATION (Unaudited - in $000s, except per share amounts) June 30 2025 Mar 31 2025 Dec 31 2024 Sept 30 2024 June 30 2024 Mar 31 2024 Dec 31 2023 Sept 30 2023 Revenue 13,536 11,476 10,334 9,152 7,372 6,134 5,799 6,431 Net income (loss) 460 622 380 310 1,409 (470) (860) 288 Adjusted EBITDA¹ 4,933 4,109 4,002 3,409 2,695 1,898 1,401 2,285 Adjusted EBITDA per share - basic¹ 0.05 0.04 0.04 0.04 0.03 0.03 0.02 0.03 Net income (loss) per share Basic 0.00 0.01 0.01 0.00 0.02 (0.01) (0.00) 0.00 Diluted 0.00 0.01 0.01 0.00 0.02 (0.01) (0.01) 0.00 Adjusted free cash flow¹ 932 1,546 3,305 3,342 1,016 458 482 4,664 1 See Financial Measures Reconciliations below LIQUIDITY AND CAPITAL RESOURCES The following table shows a summary of the Company's cash flows by source or (use) for the six months ended June 30, 2025 and 2024: Six months ended June 30 (in $000s) 2025 2024 $ Change % Change Cash flow from operating activities 2,853 3,110 (257) (8%) Cash flow used by investing activities (22,761) (7,624) (15,137) (199%) Cash flow from financing activities 20,540 12,156 8,384 69% The following table presents a summary of working capital information: As at June 30 (in $000s) 2025 2024 $ Change % Change Current assets 19,609 17,966 1,643 9% Current liabilities * 16,700 11,903 4,797 40% Working capital 2,909 6,063 (3,154) (52%) *Includes $4.3 million of debt and $3.6 million of lease liabilities in 2025 and $4.4 million of debt and $2.6 million of lease liabilities in 2024 The primary uses of funds are operating expenses, capital spending, interest and principal payments on debt facilities. The Company has a variety of sources available to meet these liquidity needs, including cash generated from operations. In general, the Company funds its operations with cash flow generated from operations, while growth capital and acquisitions are typically funded by issuing new equity, debt or cash flow from operations. Principal Credit Facility On December 18, 2024, the Company entered into a Commitment Letter with ATB Financial which provided the Company with the following: A $10.0 million revolving operating loan. The Company is able to draw on this facility for working capital, capital expenditures, and general corporate purposes. The Company may borrow, repay, reborrow, and convert between types of borrowings. This is due and payable in full on the maturity date of December 17, 2027. A $20.0 million non-revolving reducing term loan, available in two advances, (i) initial advance to pay out in full the indebtedness of the existing Term Loan and (ii) an amount not exceeding the remainder of the maximum amount shall be used for working capital, capital expenditures, and general corporate purposes. This loan is amortized over 60 months with any unpaid balance due and payable on December 17, 2027. Commencing on January 31, 2025, and on the last Business Day of each month thereafter, the Company shall make equal principal and interest repayments. The interest is payable at Prime plus the applicable margin. The applicable margin means, with respect to each facility, the percentage per annum applicable to the Net Funded Debt to EBITDA ratio. As at June 30, 2025 the Applicable Margin was 1.50%. The agreement has the following quarterly financial covenant requirements: A Net Funded Debt to EBITDA ratio of no more than 3.50:1.00, as at the Closing Date or as at the end of any fiscal quarter thereafter up to and including June 30, 2025; or A Net Funded Debt to EBITDA ratio of no more than 3.00:1.00 as at the end of fiscal quarter ending September 30, 2025 or any Fiscal Quarter thereafter; and, A Fixed Charge Coverage Ratio of no less than 1.15:1.00 as at the Closing Date or as at the end of any fiscal quarter thereafter The credit facilities are secured with a first charge over the Company's current and after acquired equipment, a general security agreement, and other standard non-financial security. As at June 30, 2025, the Company is in compliance with its financial covenant requirements. The Company may also enter into specific financing agreements with certain vendors for specific pieces of equipment. These financing agreements are entered into at the time of purchase and granted by various third parties based on the Company's financial condition at the time. They are secured with specific equipment being financed and terms and interest rates are decided at the time of application. As at June 30, 2025 the Company had $821 outstanding with respect to these specific financing agreements as compared to $390 as at December 31, 2024. As at June 30, 2025 the Company also has a letter of credit facility of $240 (as at December 31, 2024 - $240). The facility is unused as at June 30, 2025. CREDIT RISK The Company extends credit to customers, primarily comprised of construction companies, energy companies and pipeline construction companies, in the normal course of its operations. Historically, bad debt expenses have been limited to specific customer circumstances. However, the volatility in economic activity may result in higher collection risk on trade receivables. The Company has reviewed its outstanding accounts receivable as at June 30, 2025 and believes the expected loss provision is sufficient. OUTLOOK Zedcor continues to execute its long-term strategy of growing its technology enabled security services across North America. The Company continues to effectively use a mix of cash flow, debt, and the proceeds from its equity financing to build additional MobileyeZ TM security towers to provide surveillance services to our expanding customer base. The Company was able to effectively deploy new MobileyeZ TM towers to new customers throughout the Company's operating regions and grow US revenues to over 31% of total revenues in 2025. The Company has grown its salesforce across North America in order to keep utilization rates at peak levels for its MobileyeZ TM and continue to expand its service offering to different industries. Priorities that the Company intends to focus on for the remainder for 2025 include: Expanding operations in the United States and continuing to grow revenues in Canada. Due to significant spending on infrastructure in North America, along with increased theft and vandalism, the Company is seeing strong demand for its products in both countries. Zedcor's innovative products, coupled with the Company's commitment to customer service, are perfectly situated to disrupt the traditional security market. With the strong demand that Zedcor is seeing for its security towers, the Company continues to further take control of its supply chain and remove bottlenecks for its security towers by growing the manufacturing team, focusing on economies of scale with bigger orders, and assembling more of the components of its towers in house. This will allow the Company to actively manage demand and, over time, reduce our capital costs. Building new, innovative products based on customer demand. As the Company has obtained customers in different industry verticals, it has seen an increasing number of use cases for its security solutions coupled with Zedcor's 24/7 Live, Verified TM video monitoring. This includes a need for additional AI-based technology that is actively monitored as well as a mobile security product with a smaller footprint. The Company has also increased manufacturing for the ZBox to meet customer demand. The Company intends to generate customer and shareholder value and positive Adjusted EBITDA. By effectively managing its growth, executing on the above-mentioned strategies and increasing its capital markets presence, Zedcor will be able to continue to generate positive earnings per share, grow its shareholder base and increase share price. NON-IFRS MEASURES RECONCILIATION Zedcor Inc. uses certain measures in this MD&A which do not have any standardized meaning as prescribed by International Financial Reporting Standards ("IFRS"). These measures which are derived from information reported in the consolidated statements of operations and comprehensive income may not be comparable to similar measures presented by other reporting issuers. These measures have been described and presented in this MD&A in order to provide shareholders and potential investors with additional information regarding the Company. Investors are cautioned that EBITDA, adjusted EBITDA, adjusted EBITDA per share, adjusted EBIT and adjusted free cash flow are not acceptable alternatives to net income or net income per share, a measurement of liquidity, or comparable measures as determined in accordance with IFRS. EBITDA and Adjusted EBITDA EBITDA refers to net income before finance costs, income taxes, depreciation and amortization. Adjusted EBITDA is calculated as EBITDA before costs associated with severance, gains and losses on sale of equipment, (gain) loss on foreign exchange, (gain) loss on sale of equipment and right-of-use-assets, loss on repayment of note payable, other income, and stock based compensation. These measures do not have a standardized definition prescribed by IFRS and therefore may not be comparable to similar captioned terms presented by other issuers. Management believes that EBITDA and Adjusted EBITDA are useful measures of performance as they eliminate non-recurring items and the impact of finance and tax structure variables that exist between entities. "Adjusted EBITDA per share - basic" refers to Adjusted EBITDA divided by the weighted average basic number of shares outstanding during the relevant periods. A reconciliation of net income to Adjusted EBITDA is provided below: Three months ended June 30 Six months ended June 30 (in $000s) 2025 2024 2025 2024 Net income 460 1,409 1,082 939 Add: Finance costs 531 511 969 1,047 Depreciation of property & equipment 2,322 1,256 4,120 2,482 Depreciation of right-of-use assets 725 422 1,344 797 EBITDA 4,038 3,598 7,515 5,265 Add (deduct): Stock based compensation 879 282 1,459 497 Loss on sale of property & equipment 4 - 4 - Loss on repayment of note payable - 173 - 173 (Gain) loss on foreign exchange 12 13 39 15 Loss on disposal of right-of-us-asset - 2 25 16 Other income - (1,373) - (1,373) 895 (903) 1,527 (672) Adjusted EBITDA 4,933 2,695 9,042 4,593 Adjusted EBIT Adjusted EBIT refers to earnings before interest and finance charges, taxes, and one time income and expenses. A reconciliation of net income to Adjusted EBIT is provided below: Three months ended June 30 Six months ended June 30 (in $000s) 2025 2024 2025 2024 Net income 460 1,409 1,082 939 Add (deduct): Finance costs 531 511 969 1,047 Loss on repayment of note payable - 173 - 173 Other income - (1,373) - (1,373) Adjusted EBIT 991 720 2,051 786 Adjusted free cash flow Adjusted free cash flow is defined by management as net income plus non-cash expenses, plus or minus the net change in non-cash working capital and one time income and expenses, less maintenance capital. Maintenance capital is also a non-IFRS term. Management defines maintenance capital as the amount of capital expenditure required to keep its operating assets functioning at the same level of efficiency. Management believes that adjusted free cash flow reflects the cash generated from the ongoing operation of the business. Adjusted free cash flow is a non-IFRS measure generally used as an indicator of funds available for re-investment and debt payment. There is no standardized method of determining free cash flow, adjusted free cash flow or maintenance capital prescribed under IFRS and therefore the Company's method of calculating these amounts is unlikely to be comparable to similar terms presented by other issuers. Adjusted free cash flow from continuing operations is calculated as follows: Three months ended June 30 Six months ended June 30 (in $000s) 2025 2024 2025 2024 Net income 460 1,409 1,082 939 Add non-cash expenses: Depreciation of property & equipment 2,322 1,256 4,120 2,482 Depreciation of right-of-use assets 725 422 1,344 797 Loss on repayment of note payable - 173 - 173 Stock based compensation 879 282 1,459 497 Loss (gain) on sale of property & equipment 4 - 4 - Loss (gain) on disposal of right-of-use-asset - 2 25 16 Finance costs (non-cash portion) 26 7 13 52 4,416 3,551 8,047 4,956 (Deduct) non-recurring income: Other income - (1,373) - (1,373) 4,416 2,178 8,047 3,583 Change in non-cash working capital (3,484) (1,160) (5,544) (2,092) Adjusted Free Cash Flow 932 1,018 2,503 1,491 CONFERENCE CALL A conference call will be held in conjunction with this release: Date: Wednesday, August 13, 2025 Time: 10:00 am ET (8:00 am MT) Webinar Link: Dial: 647-374-4685 Toronto local 780-666-0144 Calgary local 778-907-2071 Vancouver local 346-248-7799 Houston local Meeting ID #: 996 1808 1293 Please connect 10 minutes prior to the conference call to ensure time for any software download that may be required. Participants wishing to login to the webinar will be required to register before the start of the call. Audio only dial in available without registering. About Zedcor Inc. Zedcor Inc. is disrupting the traditional physical security industry through its proprietary MobileyeZ TM security towers by providing turnkey and customized mobile surveillance and live monitoring solutions to blue-chip customers across North America. The Company continues to expand its established platform of MobileyeZ™ towers in Canada and the United States, with emphasis on industry leading service levels, data-supported efficiency outcomes, and continued innovation. Zedcor services the Canadian market through equipment and service centers currently located in British Columbia, Alberta, Manitoba, and Ontario. The Company continues to advance its U.S. expansion which now has the capacity to service markets throughout the Midwest and West Coast with locations throughout Texas and in Denver, Colorado, Phoenix, Arizona and Las Vegas, Nevada. FORWARD-LOOKING STATEMENTS Certain statements included or incorporated by reference in this news release constitute forward-looking statements or forward-looking information, including expectations for customer and revenue growth in 2025, the ability of the Company to build out its footprint in the U.S. and add additional customers as a result thereof, the Company's intention to take control of its supply chain, thereby allowing it to manage demand and reduce capital costs, and the Company's intention to increase its capital markets presence and grow investor interest in the Company. Forward-looking statements or information may contain statements with the words "anticipate", "believe", "expect", "plan", "intend", "estimate", "propose", "budget", "should", "project", "would", "may" or similar words suggesting future outcomes or expectations, including negative or grammatical variations thereof . Although the Company believes that the expectations implied in such forward-looking statements or information are reasonable, undue reliance should not be placed on these forward-looking statements because the Company can give no assurance that such statements will prove to be correct. Forward-looking statements or information are based on current expectations, estimates and projections that involve a number of assumptions about the future and uncertainties. These assumptions include anticipated manufacturing capacity and expected fleet numbers, expected utilization rates, customer growth, the impact of tariffs on the Company's business and customer buying trends, and changes in the regulatory environment and political landscape in each of Canada and the United States. Although management believes these assumptions are reasonable, there can be no assurance that they will prove to be correct, and actual results will differ materially from those anticipated. For this purpose, any statements herein that are not statements of historical fact may be deemed to be forward-looking statements. The forward-looking statements or information contained in this news release are made as of the date hereof and the Company assumes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new contrary information, future events or any other reason, unless it is required by any applicable securities laws. The forward-looking statements or information contained in this news release are expressly qualified by this cautionary statement. This news release also makes reference to certain non-IFRS measures, which management believes assists in assessing the Company's financial performance. Readers are directed to the section above entitled "Financial Measures Reconciliations" for an explanation of the non-IFRS measures used. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. To view the source version of this press release, please visit
Globe and Mail
7 days ago
- Business
- Globe and Mail
Mineros Reports Record Second Quarter 2025 Financial and Operating Results
Mineros S.A. (TSX:MSA, MINEROS:CB) (' Mineros ' or the ' Company ') today reported its financial and operating results for the three and six months ended June 30, 2025. All dollar amounts – other than per share amounts – are expressed in thousands of US dollars unless otherwise stated. For further information, please see the Company's unaudited condensed interim consolidated financial statements and management's discussion and analysis posted on Mineros' website and filed under its profile on HIGHLIGHTS FOR THE THREE AND SIX MONTHS ENDED June 30, 2025 Record revenues in both the three and six months ended June 30, 2025 of $182,403 and $342,963 respectively. Record net profit in each of the three and six month periods ended June 30, 2025 of $43,501 and $81,508 respectively. Earnings per share of $0.15 and $0.27 (basic and diluted earnings) in the three and six month periods ended June 30, 2025, respectively. $109,657 in cash and cash equivalents as at June 30, 2025. Produced 53,907 ounces of gold, 33,048 ounces from our Nicaraguan operations and 20,591 from our Colombian operation in the second quarter ended June 30, 2025. Produced 108,150 ounces of gold, 64,047 ounces from our Nicaraguan operations and 44,103 from our Colombian operations in the first six months ended June 30, 2025. Average realized price per ounce of gold sold 1 was $3,313 and $3,096 in the three and six months ended June 30, 2025, respectively. Cash Cost per ounce of gold sold 1 was $1,671 in three months ended June 30, 2025 and $1,554 in the six months ended June 30, 2025. Respectively, AISC per ounce of gold sold 1 was $1,940 and $1,812 in the three and six month periods ended June 30, 2025. Net cash flows generated by operating activities were $59,820 in the three months ended June 30, 2025 and for the six months ended June 30, 2025 this rose to $71,454. $25,614 in loans and other borrowings as at June 30, 2025. Paid $7,473 in dividends in the second quarter ended June 30, 2025 and $14,949 in the first six months of 2025. David Londoño, President and Chief Executive Officer of Mineros, commented: 'We are pleased to report another record quarter of financial results for Mineros. From a financial perspective, record gold prices provided us with another record for revenues and profits in the second quarter of 2025 of $182.4M and $43.5M respectively. These results were generated from the production and sale of 53,907 ounces of gold at an average price of $3,313, which price is 15% higher than the first quarter of 2025 and a full 42% higher than the average gold price for the second quarter of 2024. Net earnings per share were $0.15. Cash costs and all-in sustaining costs at the low end of guidance for Nechí and approximately 12% above the high end of guidance for Hemco because of the very strong gold price and its effects on the cost to purchase ore from the cooperatives representing our artisanal mining partners.' Mr. Londoño went on to say, 'With en excess of $109M in cash and a strong and flexible balance sheet we are ramping up our search for appropriately sized additions to production, both organically, with the near-term development of the Porvenir Project at our Hemco Property, and inorganic growth. We remain focused on maximizing stakeholder value.' The following table summarizes the financial highlights for the three and six month periods ended June 30, 2025 and 2024. Three Months Ended On June 30, Variation Six Months Ended June 30, Variation 2025 2024 $ % 2025 2024 $ % Revenue 182,403 133,384 49,019 37% 342,963 247,532 95,431 39% Cost of sales (107,442) (91,991) (15,451) 17% (203,844) (172,669) 31,175 18% Gross Profit 74,961 41,393 33,568 81% 139,119 74,863 64,256 86% Net Profit for the period 43,501 18,076 25,425 141% 81,508 34,850 46,658 134% Basic and diluted earnings per share ($/share) 0.15 0.06 0.08 141% 0.27 0.12 0.16 134% Average realized price per ounce of gold sold ($/oz) 1 3,313 2,327 985 42% 3,096 2,200 896 41% Cash Cost per ounce of gold sold ($/oz) 1 1,671 1,304 367 28% 1,554 1,240 313 25% AISC per ounce of gold sold ($/oz) 1 1,940 1,514 426 28% 1,812 1,472 340 23% Adjusted EBITDA 1 82,278 49,647 32,631 66% 153,578 90,301 63,277 70% Net cash flows generated by operating activities 59,820 7,115 52,705 741% 71,454 17,220 54,234 315% Net free cash flow 1 45,121 (6,818) 51,939 (762%) 44,041 (8,715) 52,756 (605%) ROCE 1 44% 31% 13% 42% 44% 31% 13% 42% Net Debt 1 (84,043) 1,898 (85,941) (4528%) (84,043) 1,898 (85,941) (4528%) Dividends paid 7,473 7,473 — 0% 14,949 12,712 2,237 18% Average realized price per ounce of gold sold, Cash Cost per ounce of gold sold, AISC per ounce of gold sold, Adjusted EBITDA, net free cash flow and Net Debt are non-IFRS financial measures, and ROCE is a non-IFRS ratio, with no standardized meaning under IFRS, and therefore may not be comparable to similar measures presented by other issuers. For further information and detailed reconciliations to the most directly comparable IFRS measures, see 'Non-IFRS and Other Financial Measures' below in this news release. Financial Highlights for the three months ended June 30, 2025 Revenue increased by 37% to $182,403 during the second quarter of 2025, compared with $133,384 in the second quarter of 2024, with gold sales of $178,573 at an average realized price per ounce of gold sold of $3,313, compared with gold sales of $124,976 at an average realized price per ounce of gold sold of $2,327 for the second quarter of 2024. The increase in revenue in the second quarter of 2025 is due to a 42% increase in the average realized price per ounce of gold sold, and a 0.4% increase in ounces of gold sold, offset by a 63% decrease in sales of silver of $4,146. Cost of sales increased by 17% to $107,442 during the second quarter of 2025, compared with $91,991 in the second quarter of 2024. This increase was primarily due to: (i) higher gold prices which increase the costs to purchase ore from artisanal miners by $13,979 or 40%; (ii) increases in operating costs across the Company's operations generally, including labour costs of $2,576, tax costs of $783, and an increase in depreciation and amortization of $205, offset by a decrease in materials and maintenance of $1,092 and a decrease in miscellaneous expenses of $884. Gross Profit increased by 81% to $74,961 in the second quarter of 2025, compared with $41,393 in the second quarter of 2024, due to higher gold prices combined with a slight increase in ounces of gold sold. Profit for the period more than doubled to $43,501 or $0.15 per share during the second quarter of 2025 from $18,076 or $0.06 per share during the second quarter of 2024. Adjusted EBITDA was $82,278 during the second quarter of 2025, up 66% compared with $49,647 during the second quarter of 2024, mainly due to the higher revenue and consistent cost control. Net cash flow generated by operating activities was up 741%, totaling $59,820 in the second quarter of 2025, compared with $7,115 in the second quarter of 2024. The Company's net free cash flow was positive for the three months ended June 30, 2025, and totaled $45,121, an improvement from the negative free cash flow of $6,818 in the same period of 2024, mainly due to the increase in cash generated by operating activities of $52,377 partially offset by higher purchases of property, plant and equipment of $6,265. Dividends Paid during the second quarter of 2025 of $7,473 were the same as the dividends paid in the second quarter of 2024. During the second quarter of 2025, capital investments 2 of $22,778 were made into existing mines, and exploration and growth projects, compared with $16,662 in the second quarter of 2024; this increase of 37% is described in Section 8 under the Capital Expenditures for the three months ended June 30, 2025. Cash Cost & AISC: Cash Cost per ounce of gold sold in the second quarter of 2025 was $1,671 and AISC per ounce of gold sold was $1,940, compared with Cash Cost per ounce of gold sold of $1,304 and AISC per ounce of gold sold of $1,514 for the second quarter of 2024. The 28% increase in Cash Cost per ounce of gold sold is due to the 17% increase in the cost of sales, due to higher gold prices increasing the payments made to artisanal miners. The increase in AISC per ounce of gold sold is explained by the increase in the Cash Costs per ounce of gold sold. Financial Highlights for the six months ended June 30, 2025 Revenue increased by 39% and totaled $342,963 during the six months ended June 30, 2025, compared with $247,532 in the six months ended June 30, 2024, with sales of gold of $334,845 at an average realized price per ounce of gold sold of $3,096 in the six months ended June 30, 2025, compared with sales of gold of $231,938 at an average realized price per ounce of gold sold of $2,200 in the six months ended June 30, 2024; and a 3% increase in ounces of gold sold, offset by a 68% decrease in ounces of silver and 7% decrease in energy sales. Cost of sales increased by 18%, to $203,844 in the six months ended June 30, 2025, compared with $172,669 in the six months ended June 30, 2024. The increase in costs is primarily due to: (i) higher cost of purchasing ore from artisanal miners of $23,594 due to higher gold prices; (ii) greater maintenance and materials costs of $1,043; (iii) higher labour costs of $4,535; and (iv) higher taxes and royalties of $2,366. Gross Profit increased by 86%, amounting to $139,119 in the six months ended June 30, 2025, compared with $74,863 in the six months ended June 30, 2024; mainly due to a 39% increase in revenue, due to higher gold prices, which was partially offset by a 18% increase in cost of sales as explained above. Profit for the period was up by 134% to $81,508 or $0.27 per share during the six months ended June 30, 2025 compared with $34,850 or $0.12 per share during the six months ended June 30, 2024. The increase in profit is mainly explained by the increase in gross profit, partially offset by an increase in administrative expenses of $2,661 and an increase in other expenses of $1,631. In addition, as a result of the higher profit before taxes, tax expenses increased by $17,762. Adjusted EBITDA was up 70% to $153,578 during the six months ended June 30, 2025 compared with $90,301 during the six months ended June 30, 2024 due to a 39% increase in revenue, offset by a 18% increase in cost of sales, an increase of $2,661 in administrative expenses, due to the redemption of share appreciation rights by executive officers in April, 2025, and a decrease of $1,110 in other income. ROCE was 44% as at June 30, 2025 compared with ROCE of 31% as at June 30, 2024. The increase is due to the 54% higher Adjusted EBITDA for the last 12 months, along with a 22% increase in average capital employed mainly due to higher cash generation associated with higher gold prices and stable production levels and higher purchases of property plant and equipment. Net Debt was $(84,043) as at June 30, 2025, compared with $1,898 as at June 30, 2024 due to 303% higher cash and cash equivalents of $109,657, an historical record, together with 12% lower loans and other borrowings of $25,614, reflecting a strong cash position. Dividends Paid were up 18% to $14,949 during the six months ended June 30, 2025, compared with $12,712 in the same period of 2024. The period over period increase is due to the fact that the dividend paid in the first quarter of 2024 was $0.0175 corresponding to the $0.07 annual dividend declared in 2023 and paid over four quarters with the final payment made in the first quarter of 2024. Net cash flows generated by operating activities were up 315% totaling $71,454 in the six months ended June 30, 2025, compared with $17,220 in the same period of 2024. The Company's net free cash flow was positive for the six months ended June 30, 2025 and totaled $44,041, up from $(8,715) in the same period of 2024, due to higher receipts from sales of goods of $96,903, and lower repayments of borrowings of $3,815 offset by greater payments for: income tax of $6,120; suppliers of $27,427; employees of $7,461; and for purchases of property, plant and equipment of $10,666. Capital investments were up 42% to $43,953 during the six months ended June 30, 2025 as investments were made into existing mines, and exploration and growth projects, compared with $31,025 in the six months ended June 30, 2024. The increase is explained by the construction of the extension of the tailings' impoundment facility at the Hemco Property. Cash Cost & AISC: Cash Cost per ounce of gold sold in the six months ended June 30, 2025 was $1,554 and AISC per ounce of gold sold was $1,812, compared with Cash Cost per ounce of gold sold of $1,240 and AISC per ounce of gold sold of $1,472 for the same period in 2024. The 25% increase in Cash Cost per ounce of gold sold was due to 18% higher cost of sales, due to higher gold prices which results in higher costs to purchase ore from artisanal miners in Nicaragua. The 23% increase in AISC per ounce of gold sold is explained by the increase in Cash Cost per ounce of gold sold and a 4% increase in sustaining capital expenditures. 2025 Guidance For 2025, we expect gold production to be between 201,000 and 223,000 ounces, building on the consistent performance of our Nicaragua underground mines, our partnerships with the cooperatives representing artisanal miners in Nicaragua and the improved performance at the Nechí Alluvial Property. We remain focused on operational excellence and delivering strong returns for our shareholders. As gold prices increase, Mineros will continue to make production decisions at its Hemco Property, similar to those made in the first quarter of 2025 to maximize gold production, which may result in a different split in production between the Company's Pioneer and Panama Mines and artisanal mining production than originally anticipated and upon which the original guidance was provided. We are currently maintaining our production guidance for both the Nechí Alluvial Property and the Hemco Property. The following table summarizes the Company's production for the first six months of 2025 compared with the 2025 full-year guidance: Six months ended June 30, 2025 2025 Guidance 1 Nechí Alluvial Property 44,103 81,000 - 91,000 Hemco Property 13,069 33,000 - 36,000 Company Mines 57,172 114,000 - 127,000 Artisanal 50,978 87,000 - 96,000 Consolidated 108,150 201,000 - 223,000 1 Production guidance for silver is not provided by the Company, as we treat it as a by-product and the volumes of silver are small relative to gold production. Cost Guidance The higher gold prices are expected to result in higher Cash Costs per ounce of gold sold and AISC per ounce of gold sold at the Hemco Property as the cooperatives representing our artisanal mining partners are paid a relatively stable percentage of the spot price for gold as are the formalized miners in Colombia. We are revising our guidance on cash cost and AISC due to higher gold prices and the effects of the increase in the price of gold on our costs to acquire additional production in both Nicaragua, from the cooperatives representing artisanal mining partners, and Colombia, from formalized miners working with the Company. The following table summarizes the Company's cash cost and AISC in the first six months of 2025 compared with the 2025 full-year guidance: Cash Cost per ounce of gold sold Six months ended June 30, 2025 Revised 2025 Guidance ($/oz) 1 2025 Guidance ($/oz) Nechí Alluvial Property 1,230 1,270 - 1,370 1,220 - 1,320 Hemco Property 1,794 1,740 - 1,840 1,420 - 1,520 Consolidated 1,554 1,550 - 1,640 1,340 - 1,430 AISC per ounce of gold sold Nechí Alluvial Property 1,420 1,490 - 1,590 1,440 - 1,540 Hemco Property 1,990 2,000 - 2,100 1,680 - 1,780 Consolidated 1,812 1,880 - 1,980 1,650 - 1,750 1. These measures are forward-looking non-IFRS financial measures. Revised guidance for 2025 Cash Cost per ounce of gold sold and AISC per ounce of gold sold have been adjusted to better reflect market consensus estimates for gold prices for the balance of the year, which are in excess of US$3,000/oz, an exchange rate COP/USD of COP$4,200, and inflation of 6.5%. For further information concerning the equivalent historical non-IFRS financial measures, see 'Non-IFRS and Other Financial Measures' below in this news release. Guidance for 2025 is forward-looking information, and readers are cautioned that actual results may vary. See 'Forward-Looking Statements' below. Production Summary The following table sets forth the gold produced by the operations for the three and six months ended June 30, 2025, and 2024. Three Months Ended June 30, Variation Six Months Ended June 30, Variation 2025 2024 ounces % 2025 2024 ounces % Nechí Alluvial Property (Colombia) 20,859 20,591 268 1 % 44,103 39,803 4,300 11 % Hemco Property 6,248 7,357 (1,109 ) (15 )% 13,069 15,539 (2,470 ) (16 )% Artisanal Mining 26,800 25,755 1,045 4 % 50,978 50,102 876 2 % Nicaragua 33,048 33,112 (64 ) (0.2 )% 64,047 65,641 (1,594 ) (2 )% Total Gold Produced 53,907 53,703 204 0.4 % 108,150 105,444 2,706 3 % Total Silver Produced 70,733 224,096 (153,363 ) (68 %) 147,992 466,745 (318,753 ) (68 )% Gold production increased by 0.4% as 53,907 ounces of gold were produced during the second quarter of 2025, compared with 53,703 ounces in the second quarter of 2024. The slight increase in production is the result of 1% higher production at the Nechí Alluvial Property offset by a 0.2% lower production at the Hemco Property. Gold production up 3%: 108,150 ounces of gold were produced during the six months ended June 30, 2025, compared with 105,444 ounces in the same period of 2024. The increase in gold production, relative to the comparative period in 2024, is a result of 11% greater production at the Nechí Alluvial Property and improved recoveries, offset by 2% lower production from the Hemco Property due to lower grades. Exploration and Evaluation Expenditures Summary The following table sets forth the gold produced by the operations of the Company for the three and six months ended June 30, 2025 and 2024 Three Months Ended June 30, Variation Six Months Ended June 30, Variation 2025 2024 $ % 2025 2024 $ % E&E expenditures capitalized 1 1,815 1,407 408 29 % 2,852 2,031 821 40 % E&E expenditures expensed 2 1,196 1,236 (40 ) (3 %) 2,091 2,533 (442 ) (17 %) Total 3,011 2,643 368 14 % 4,943 4,564 379 8 % Capitalized E&E expenditures are reflected in E&E projects in the consolidated statements of financial position. Expensed E&E expenditures are reported in the consolidated statement of profit or loss for the respective period under 'Exploration expenses' Exploration and Evaluation Expenditures (' E&E '): for the three months ended June 30, 2025, the Company incurred $1,815 in capital expenditures, an increase of 29% compared with the second quarter of 2024. The increase is due to higher expenditures of $275 at the Porvenir Project, and higher expenditures of $133 at Nechí Alluvial Property combined with a 3% decrease in additional expenditures due to lower expenses in the regional exploration program at the Hemco Property. Exploration and Evaluation Expenditures for the six months ended June 30, 2025, the Company incurred $4,943 in E&E expenditures, an increase of 8% compared with the same period of 2024. The increase for the six months ended June 30, 2025, is mainly explained by higher exploration expenditures capitalized. Health and Safety Mineros reaffirms its commitment to provide and maintain a safe and healthy work environment in which all employees and contractors conduct themselves in a responsible and safe manner. Thus, the Company is committed to achieving a high standard of Occupational Health and Safety through the implementation of all policies, procedures, and standards and the continuous improvement of management systems, setting targets and monitoring performance. Operations at the Nechi Alluvial Property and the Hemco Property (the ' Material Properties ') are ISO 45001 (Occupational Health and Safety Management) certified. The following table presents the safety statistics for the six months ended June 30, 2025, and the comparative period in 2024. Health and Safety KPIs Six Months Ended June 30, 2025 2024 Nechí Alluvial Property (Colombia) LTIFR (1) 0.35 0.38 TRIFR (2) 1.81 1.52 Hemco Property (Nicaragua) LTIFR — 0.07 TRIFR 0.93 0.60 Mineros (Weighted Average) LTIFR 0.15 0.19 TRIFR 1.28 0.97 Lost time injury frequency rate ('LTIFR') refers to the number of lost time injuries that occurred during a reporting period. Total recordable incident frequency rate ('TRIFR') combines all of the recorded fatalities, lost time injuries, cases or alternate work and other injuries requiring treatment by a medical professional. GROWTH AND EXPLORATION PROJECT UPDATES Near Mine Exploration, Hemco Property Expansion Near mine exploration is focused on the current mining operations, the Panama Mine and the Pioneer Mine. Mineralization is related to an epithermal gold system associated with multiple quartz veins. A total of 10,862 metres of diamond drilling in 71 holes was completed in the second quarter of 2025, achieving approximately 65% of the 2025 drilling plan. The objective of this campaign is to increase the Mineral Resources and Mineral Reserves at the Panama Mine and the Pioneer Mine. A total of 5,148 meters were drilled at the Panama Mine and 5,714 meters at the Pioneer Mine. Mineros is updating the Mineral Resources and Mineral Reserves for the Panama Mine and Pioneer Mine, scheduled to be published in early 2026. Brownfield Exploration, Hemco Property Expansion Brownfield exploration is centered on the Bonanza block, which encompasses the concession areas between the Panama Mine and the Pioneer Mine. The mineralization belongs to the same epithermal gold trend that comprises the Panama and Pioneer mines, characterized by multiple quartz veins. In 2025, Mineros initiated an 18,000-metre diamond drilling program focused primarily on two brownfield targets: Cleopatra and Orpheus. Brownfield drilling activities commenced at the end of the second quarter of 2025. A total of 50 metres of diamond drilling was completed in a single hole at the Cleopatra target. Porvenir Project The Porvenir Project is a pre-development stage project located 10.5km southwest of the existing Hemco Property facilities. Mineralization consists of a volcanic hosted gold-zinc-silver deposit with epithermal quartz veins of intermediate sulphidation. The Company is progressing as planned with the update of Mineral Resources and Mineral Reserves for the Porvenir Project, aiming to maximize its value, with the prefeasibility study optimization expected for publication in the first half of 2026. Guillermina Target The Guillermina Deposit is an epithermal zinc-gold-silver deposit, located four kilometres west of the Pioneer deposit. On July 24, 2025, Mineros announced its initial Mineral Resource estimate for the Guillermina Deposit, which includes: Indicated Mineral Resources: 1.29 Mt @ 0.71 g/t Au, 23.3 g/t Ag, 6.60% Zn, and 3.13 g/t AuEq, Containing 30 koz Au, 962 koz Ag, 187 Mlb Zn, and 129 koz AuEq Inferred Mineral Resources: 1.29 Mt @ 1.32 g/t Au, 30.2 g/t Ag, 5.73% Zn, and 3.66 g/t AuEq, Containing 55 koz Au, 1,250 koz Ag, 162 Mlb Zn, and 152 koz AuEq The deposit remains open laterally and at depth, with excellent potential for additional mineralized zones. Guillermina is considered a promising opportunity that could materially contribute to the future development of the Porvenir Project. The 2025 drilling campaign at Guillermina commenced in July 2025 and is in progress with 2,000 meters planned. Leticia Deposit The Leticia Deposit is an epithermal gold-silver-zinc deposit, located 500m northwest of the Porvenir Project. For 2025, Mineros has planned a 1,300-metre diamond drilling campaign, with greenfield drilling activities beginning in July 2025. Mineros is planning to update the Mineral Resource estimate for the Leticia deposit, for publication in the first half of 2026. Luna Roja Deposit The Luna Roja Deposit is a skarn gold system, located 24km southeast from the existing Hemco facilities. The Company is focusing on expanding the current Mineral Resources and identifying new targets surrounding the main deposit. Mineros is advancing a Mineral Resource update for the Luna Roja Deposit, with publication in the first half of 2026. Hemco Property Regional Exploration Mineros' regional greenfield exploration is focused on two areas with early-stage targets: Rosita and Bonanza districts. The Bonanza district excludes the designated brownfield area known as the Bonanza block, see Brownfield Exploration, Hemco Property Expansion. A 14,500-metre drilling campaign is planned for 2025, with approximately 6,000 metres allocated for exploration in the Rosita District and 8,500 metres in the Bonanza District. Greenfield drilling activities have not yet commenced due to delays in finalizing the drilling contracts. Assay results from 10 diamond drill holes, totaling 1,374 metres, completed at the Okonwas Target were received during the second quarter of 2025. The results confirm the presence of anomalous gold, silver, and zinc mineralization, and indicate multiple, parallel, narrow mineralized veins. Highlighted intercepts include: Hole RIJDDH_24_002: 3.22 g/t Au and 710 g/t Ag over 0.50 m 0.91 g/t Au and 2.18% Zn over 0.60 m Hole RIHDDH_24_002: 2.06 g/t Au, 33.5 g/t Ag, and 2.40% Zn over 1.00 m Hole RIJDDH_24_003: 2.58 g/t Au over 0.50 m The results suggest that mineralization extends at depth; however, the vein structures exhibit limited continuity and are generally narrow or discontinuous. Follow-up exploration is currently focused on evaluating additional targets to the north and east within the Rosita I concession (Rosita District) to assess the potential for future drilling. Near Mine Exploration, Nechí Alluvial Property Expansion At the Nechí Alluvial Property, Mineros is exploring for alluvial gold predominantly east of the Nechí River, where the Company is currently mining within quaternary alluvial sediments. A total of 4,294 meters in 155 holes were completed in the second quarter of 2025, approximately 65% of the Company's original drilling plan. The drilling focused on infill drilling within the current production area, with 955 metres completed in 36 holes of ward drilling and 3,339 metres in 119 holes of sonic drilling. La Pepa Property, Chile The La Pepa Project is an advanced gold exploration project located in the Maricunga Gold Belt of the Atacama Region, Chile, approximately 800 km north of Santiago and 110 km east of Copiapó, at 4,200 metres above sea level in the Andes Mountains. It is 100% owned by Minera Cavancha SpA, a joint venture entity that is owned 20% by Mineros and 80% by Pan American. On August 11, 2025, the Company announced that it will acquire from Pan American Silver Corp. (' Pan American Silver ') an 80% interest in the La Pepa Project for $40 million in cash (the ' La Pepa Project Purchase '), bringing its interest in the La Pepa Project to 100%. The La Pepa Project Purchase is structured as a transaction between subsidiaries of Mineros and Pan American Silver for the purchase and sale of all shares of Minera Cavancha SpA not currently owned by Mineros. Minera Cavancha SpA currently holds the La Pepa Project pursuant to a joint venture between Mineros and Pan American Silver. In connection with the La Pepa Project Purchase, that joint venture will be terminated. CONFERENCE CALL AND WEBCAST DETAILS As a reminder the Company will host a conference call tomorrow, Wednesday, August 13, 2025, at 9:00 AM Colombian Standard Time (10:00 AM Eastern Daylight Time). Please register here to join us. The live webcast requires previous registration, and interested parties are advised to access the webcast approximately ten minutes prior to the start of the call. The webcast will be archived on the Company's website at for approximately 30 days following the call. ABOUT MINEROS S.A. Mineros is a Latin American gold mining company headquartered in Medellin, Colombia. The Company has a diversified asset base, with mines in Colombia and Nicaragua and a pipeline of development and exploration projects throughout the region. The board of directors and management of Mineros have extensive experience in mining, corporate development, finance and sustainability. Mineros has a long track record of maximizing shareholder value and delivering solid annual dividends. For almost 50 years Mineros has operated with a focus on safety and sustainability at all its operations. Mineros' common shares are listed on the Toronto Stock Exchange under the symbol 'MSA', and on the Colombia Stock Exchange under the symbol 'MINEROS'. Election of Directors – Electoral Quotient System The Company has been granted an exemption from the individual voting and majority voting requirements applicable to listed issuers under Toronto Stock Exchange policies, on grounds that compliance with such requirements would constitute a breach of Colombian laws and regulations which require the directors to be elected on the basis of a slate of nominees proposed for election pursuant to an electoral quotient system. For further information, please see the Company's most recent annual information form, available on the Company's website at and from SEDAR+ at QUALIFIED PERSON The scientific and technical information contained in this news release has been reviewed and approved by Luis Fernando Ferreira de Oliveira, MAusIMM CP (Geo), Mineral Resources and Reserves Manager for Mineros S.A., who is a qualified person within the meaning of National Instrument 43-101 - Standards of Disclosure for Mineral Projects. FORWARD-LOOKING STATEMENTS This news release contains 'forward looking information' within the meaning of applicable Canadian securities laws. Forward looking information includes statements that use forward looking terminology such as 'may', 'could', 'would', 'will', 'should', 'intend', 'target', 'plan', 'expect', 'budget', 'estimate', 'forecast', 'schedule', 'anticipate', 'believe', 'continue', 'potential', 'view' or the negative or grammatical variation thereof or other variations thereof or comparable terminology. Such forward looking information includes, without limitation, statements with respect to the Company's outlook for 2025; estimates for future mineral production and sales; the Company's expectations, strategies and plans for the Material Properties; the Company's planned exploration, development and production activities; statements regarding the projected exploration and development of the Company's projects; adding or upgrading Mineral Resources and developing new mineral deposits; estimates of future capital and operating costs; the costs and timing of future exploration and development; estimates for future prices of gold and other minerals; expectations regarding the payment of dividends; and any other statement that may predict, forecast, indicate or imply future plans, intentions, levels of activity, results, performance or achievements. Forward-looking information is based upon estimates and assumptions of management in light of management's experience and perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances, as of the date of this news release including, without limitation, assumptions about: favourable equity and debt capital markets; the ability to raise any necessary additional capital on reasonable terms to advance the production, development and exploration of the Company's properties and assets; future prices of gold and other metal prices; the timing and results of exploration and drilling programs, and technical and economic studies; the development of the Porvenir Project; completion of its drilling programs; the accuracy of any Mineral Reserve and Mineral Resource estimates; the geology of the Material Properties being as described in the applicable technical reports; production costs; the accuracy of budgeted exploration and development costs and expenditures; the price of other commodities such as fuel; future currency exchange rates and interest rates; operating conditions being favourable such that the Company is able to operate in a safe, efficient and effective manner; political and regulatory stability; the receipt of governmental, regulatory and third party approvals, licenses and permits on favourable terms; obtaining required renewals for existing approvals, licenses and permits on favourable terms; requirements under applicable laws; sustained labour stability; stability in financial and capital goods markets; inflation rates; availability of labour and equipment; positive relations with local groups, including artisanal mining cooperatives in Nicaragua, and the Company's ability to meet its obligations under its agreements with such groups; and satisfying the terms and conditions of the Company's current loan arrangements. While the Company considers these assumptions to be reasonable, the assumptions are inherently subject to significant business, social, economic, political, regulatory, competitive and other risks and uncertainties, contingencies and other factors that could cause actual actions, events, conditions, results, performance or achievements to be materially different from those projected in the forward-looking information. Many assumptions are based on factors and events that are not within the control of the Company and there is no assurance they will prove to be correct. For further information of these and other risk factors, please see the 'Risk Factors' section of the Company's annual information form dated March 25, 2024, available on SEDAR+ at The Company cautions that the foregoing lists of important assumptions and factors are not exhaustive. Other events or circumstances could cause actual results to differ materially from those estimated or projected and expressed in, or implied by, the forward looking information contained herein. There can be no assurance that forward looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward looking information. Forward looking information contained herein is made as of the date of this news release and the Company disclaims any obligation to update or revise any forward looking information, whether as a result of new information, future events or results or otherwise, except as and to the extent required by applicable securities laws. NON-IFRS AND OTHER FINANCIAL MEASURES The Company has included certain non-IFRS financial measures and non-IFRS ratios in this news release. Management believes that non-IFRS financial measures and non-IFRS ratios, when supplementing measures determined in accordance with IFRS, provide investors with an improved ability to evaluate the underlying performance of the Company. Non-IFRS financial measures and non-IFRS ratios do not have any standardized meaning prescribed under IFRS, and therefore may not be comparable to similar measures employed by other companies. This data is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. For a discussion of the use of non-IFRS financial measures and reconciliations thereof to the most directly comparable IFRS measures, see below. EBIT, EBITDA and Adjusted EBITDA The Company believes that, in addition to conventional measures prepared in accordance with IFRS, certain investors use earnings before interest and tax (' EBIT'), earnings before interest, tax, depreciation and amortization (' EBITDA '), and adjusted earnings before interest, tax, depreciation and amortization (' Adjusted EBITDA '), which excludes certain non-operating income and expenses, such as financial income or expenses, hedging operations, exploration expenses, impairment of assets, foreign currency exchange differences, and other expenses (principally, donations, corporate projects and taxes incurred). The Company believes that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results because it is consistent with the indicators management uses internally to measure the Company's performance and is an indicator of the performance of the Company's mining operations. The following table sets out the calculation of EBIT, EBITDA and Adjusted EBITDA to Net profit for the three and six months ended June 30, 2025 and 2024: Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 $ $ $ $ Net Profit For The Period 43,501 18,076 81,508 34,850 Less: Interest income (843.00 ) (297 ) (1,635 ) (784 ) Add: Interest expense 1,988.00 1,992 3,962 4,031 Add: Current tax 1 21,187 12,287 40,056 22,294 Add/less: Deferred tax 1 (839 ) 1,923 (4,068 ) 970 EBIT 64,994 33,981 119,823 61,361 Add: Depreciation and amortization 12,511 12,294 26,024 24,342 EBITDA 77,505 46,275 145,847 85,703 Less: Other income (615 ) (442 ) (988 ) (2,098 ) Add: Share of results of associates 59 13 59 53 Less: Finance income (excluding interest income) (6 ) (47 ) (11 ) (53 ) Add: Finance expense (excluding interest expense) 51 44 111 92 Add: Other expenses 3,479 2,398 5,709 4,078 Add: Exploration expenses 1,196 1,236 2,091 2,533 Less: Foreign exchange differences 610 170 761 (7 ) Adjusted EBITDA 2 82,278 49,647 153,578 90,301 For additional information regarding taxes, see note 13 of our unaudited condensed interim consolidated financial statements for the three and six months ended June 30, 2025 and 2024. The reconciliation above does not include adjustments for (impairment) reversal of assets, because there would be a nil adjustment for the three and six months ended June 30, 2025 and 2024. Cash Cost The objective of Cash Cost is to provide stakeholders with a key indicator that reflects as close as possible the direct cost of producing and selling an ounce of gold. The Company reports Cash Cost per ounce of gold sold which is calculated by deducting revenue from silver sales, depreciation and amortization, environmental rehabilitation provisions and including cash used for retirement obligations and environmental and rehabilitation and sales of electric energy. This total is divided by the number of gold ounces sold. Cash Cost includes mining, milling, mine site security, royalties, and mine site administration costs, and excludes non-cash operating expenses. Cash Cost per ounce of gold sold is a non-IFRS financial measure used to monitor the performance of our gold mining operations and their ability to generate profit, and is consistent with the guidance methodology set out by the World Gold Council. The following table provides a reconciliation of Cash Cost per ounce of gold sold on a by-product basis to cost of sales for the three and six months ended June 30, 2025, and 2024. Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Cost of sales $ 107,442 $ 91,991 $ 203,844 $ 172,669 Less: Cost of sales of non-mining operations 1 (567 ) (225 ) (567 ) (420 ) Less: Depreciation and amortization (12,228 ) (12,023 ) (25,497 ) (23,707 ) Less: Sales of silver (2,427 ) (6,573 ) (4,966 ) (12,167 ) Less: Sales of electric energy (1,316 ) (1,713 ) (2,925 ) (3,148 ) Less: Environmental rehabilitation provision (1,309 ) (2,349 ) (2,689 ) (3,535 ) Add: Use of environmental and rehabilitation liabilities 443 235 755 377 Add: Use of Retirement obligations 46 707 91 732 Cash Cost $ 90,084 $ 70,050 $ 168,046 $ 130,801 Gold sold (oz) 53,907 53,703 108,150 105,444 Cash Cost per ounce of gold sold ($/oz) $ 1,671 $ 1,304 $ 1,554 $ 1,240 Refers to cost of sales incurred in the Company's 'Others' segment. See note 6 of our unaudited condensed interim consolidated financial statements for the three and six months ended June 30, 2025 and 2024. The majority of this amount relates to the cost of sales of latex. Changes in Composition of Cash Cost The composition of Cash Cost was revised in the second quarter of 2024 to deduct revenue from sales of electric energy from cost of sales to better reflect the costs to produce an ounce of gold. Values for prior periods have been adjusted from amounts previously disclosed to reflect these changes. Changes in Composition of Cash Cost - Nechí Alluvial Property (Colombia) Segment The composition of Cash Cost for the Nechí Alluvial Property (Colombia) segment was revised in the fourth quarter of 2024 to exclude an intercompany royalty, which reduces Cash Cost and Cash Cost per ounce of gold sold for that segment. The Company notes that guidance provided for the Nechí Alluvial Property (Colombia) segment has always excluded the intercompany royalty, even though disclosure of historical Cash Cost performance for the segment did not, which resulted in an inconsistency in reporting of this measure between guidance and historical measures. Disclosure of Cash Cost and Cash Cost per ounce of gold sold for the Nechí Alluvial Property (Colombia) segment has been adjusted from amounts previously disclosed in historical MD&A and news releases to reflect this change. For greater certainty, this change does not affect Cash Cost and Cash Cost per ounce of gold sold of the Company on a consolidated basis, or for any other segment. All-in Sustaining Costs The objective of AISC is to provide stakeholders with a key indicator that reflects as closely as possible the full cost of producing and selling an ounce of gold. AISC per ounce of gold sold is a non-IFRS ratio that is intended to provide investors with transparency regarding the total costs of producing one ounce of gold in the relevant period. The Company reports AISC per ounce of gold sold on a by-product basis. The methodology for calculating AISC per ounce of gold sold is set out below and is consistent with the guidance methodology set out by the World Gold Council. The World Gold Council definition of AISC seeks to extend the definition of total Cash Cost by deducting cost of sales of non-mining operations and adding administrative expenses, sustaining exploration, sustaining leases and leaseback and sustaining capital expenditures. Non-sustaining costs are primarily those related to new operations and major projects at existing operations that are expected to materially benefit the current operation. The determination of classification of sustaining versus non-sustaining requires judgment by management. AISC excludes current and deferred income tax payments, finance expenses and other expenses. Consequently, these measures are not representative of all the Company's cash expenditures. In addition, the calculation of AISC does not include depreciation and amortization cost or expense as it does not reflect the impact of expenditures incurred in prior periods. Therefore, it is not indicative of the Company's overall profitability. Other companies may quantify these measures differently because of different underlying principles and policies applied. Differences may also occur due to different definitions of sustaining versus non-sustaining. The following table provides a reconciliation of AISC per ounce of gold sold to cost of sales for the three and six months ended June 30, 2025, and 2024 Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Cost of sales $ 107,442 $ 91,991 $ 203,844 $ 172,669 Less: Cost of sales of non-mining operations 1 (567 ) (225 ) (567 ) (420 ) Less: Depreciation and amortization (12,228 ) (12,023 ) (25,497 ) (23,707 ) Less: Sales of silver (2,427 ) (6,573 ) (4,966 ) (12,167 ) Less: Sales of electric energy (1,316 ) (1,713 ) (2,925 ) (3,148 ) Less: Environmental rehabilitation provision (1,309 ) (2,349 ) (2,689 ) (3,535 ) Add: Use of environmental and rehabilitation liabilities 443 235 755 377 Add: Use of Retirement obligations 46 707 91 732 Add: Administrative expenses 5,194 4,040 11,565 8,904 Less: Depreciation and amortization of administrative expenses 2 (283 ) (271 ) (527 ) (635 ) Add: Sustaining leases and leaseback 3 2,885 1,897 5,619 4,839 Add: Sustaining exploration 4 148 74 226 118 Add: Sustaining capital expenditures 5 6,546 5,515 11,032 11,220 AISC from operations $ 104,574 $ 81,305 $ 195,961 $ 155,247 Gold sold (oz) 53,907 53,703 108,150 105,444 AISC per ounce of gold sold ($/oz) 1,940 1,514 1,812 1,472 Cost of sales of non-mining operations is the cost of sales excluding cost incurred by non-mining operations and the majority of this cost comprises cost of sales of latex. Depreciation and amortization of administrative expenses is included in the administrative expenses line on the unaudited condensed consolidated interim financial statements and is mainly related to depreciation for corporate office spaces and local administrative buildings at the Hemco Property. Represents most lease payments as reported in the unaudited consolidated financial statements of cash flows and is made up of the principal of such cash payments, less non-sustaining lease payments. Lease payments for new development projects and capacity projects are classified as non-sustaining. Sustaining exploration: Exploration expenses and exploration and evaluation projects as reported in the unaudited consolidated interim financial statements, less non-sustaining exploration. Exploration expenditures are classified as either sustaining or non-sustaining based on a determination of the type and location of the exploration expenditure. Exploration expenditures within the footprint of operating mines are considered costs required to sustain current operations and so are included in sustaining costs. Exploration expenditures focused on new ore bodies near existing mines (i.e. brownfield), new exploration projects (i.e. greenfield) or for other generative exploration activity not linked to existing mining operations are classified as non-sustaining. Sustaining capital expenditures: Represents the capital expenditures at existing operations including, periodic capitalized stripping and underground mine development costs, ongoing replacement of mine equipment and overhaul of existing equipment, and is calculated as total additions to property, plant and equipment (as reported on the consolidated statements of cash flows), less non-sustaining capital. Non-sustaining capital represents capital expenditures for major projects, including projects at existing operations that are expected to materially benefit the operation and provide a level of growth, as well as enhancement capital for significant infrastructure improvements at existing operations. Non-sustaining capital expenditures during the three and six months ended June 30, 2025, are primarily related to major projects at the Hemco Property and the Nechí Alluvial Property. The sum of sustaining capital expenditures and non-sustaining capital expenditures is reported as the total of additions of property plant and equipment in the .unaudited condensed interim consolidated financial statements. Changes in Composition of AISC - Nechí Alluvial Property (Colombia) Segment The composition of AISC for the Nechí Alluvial Property (Colombia) segment was revised in the fourth quarter of 2024 to exclude an intercompany royalty, which reduces AISC and AISC per ounce of gold sold for that segment. The Company notes that guidance provided for the Nechí Alluvial Property (Colombia) segment has always excluded the intercompany royalty, even though disclosure of historical AISC performance for the segment did not, which resulted in an inconsistency in reporting of this measure between guidance and historical measures. Disclosure of AISC and AISC per ounce of gold sold for the Nechí Alluvial Property (Colombia) segment has been adjusted from amounts previously disclosed in historical MD&A and news releases to reflect this change. For greater certainty, this change does not affect AISC and AISC per ounce of gold sold of the Company on a consolidated basis, or for any other segment. Cash Cost and All-in Sustaining Costs by Operating Segment The following table provides a reconciliation of Cash Cost per ounce of gold sold and AISC per ounce of gold sold by operating segment 3 to cost of sales, for the three and six months ended June 30, 2025, and 2024. Three months ended June 30, 2025 Nechí Alluvial Hemco Property Cost of sales $ 39,651 $ 72,912 Less: Depreciation and amortization (4,500 ) (7,690 ) Less: Sales of silver (66 ) (2,361 ) Less: Sales of electric energy (1,316 ) — Less: Intercompany royalty (4,909 ) — Less: Environmental rehabilitation provision (1,309 ) — Add: Use of environmental and rehabilitation liabilities 443 — Add: Use of Retirement obligations — 46 Cash Cost $ 27,994 $ 62,907 AISC Adjustments Less: Depreciation and amortization of administrative expenses (3 ) (31 ) Add: Administrative expenses 707 1,342 Add: Sustaining leases and Leaseback 747 2,138 Add: Sustaining exploration 148 — Add: Sustaining capital expenditure 2,950 3,596 AISC $ 32,543 $ 69,952 Gold sold (oz) 20,859 33,048 Cash Cost per ounce of gold sold ($/oz) 1,342 1,904 AISC per ounce of gold sold ($/oz) 1,560 2,117 Three months ended June 30, 2024 Nechí Alluvial Hemco Property Cost of sales $ 34,197 $ 61,475 Less: Depreciation and amortization (4,348 ) (7,648 ) Less: Sales of silver (57 ) (6,516 ) Less: Sales of electric energy (1,713 ) — Less: Intercompany royalty (3,458 ) — Less: Environmental rehabilitation provision (2,349 ) — Add: Use of environmental and rehabilitation liabilities 235 — Add: Use of Retirement obligations — 707 Cash Cost $ 22,507 $ 48,018 AISC Adjustments Less: Depreciation and amortization administrative expenses (3 ) (7 ) Add: Administrative expenses 758 897 Add: Sustaining leases and Leaseback 800 1,097 Add: Sustaining exploration 74 — Add: Sustaining capital expenditure 2,784 2,731 AISC $ 26,920 $ 52,736 Gold sold (oz) 20.591 33.112 Cash Cost per ounce of gold sold ($/oz) 1,093 1,450 AISC per ounce of gold sold ($/oz) 1,307 1,593 Six months ended June 30, 2025 Nechi Alluvial Hemco Property Cost of sales $ 77,942 $ 136,059 Less: Depreciation and amortization (8,980 ) (16,430 ) Less: Sales of silver (133 ) (4,833 ) Less: Sales of electric energy (2,925 ) — Less: Intercompany royalty (9,740 ) — Less: Environmental rehabilitation provision (2,689 ) — Add: Use of environmental and rehabilitation liabilities 755 — Add: Use of Retirement obligations — 91 Cash Cost $ 54,230 $ 114,887 AISC Adjustments Less: Depreciation and amortization of administrative expenses (7 ) (55 ) Add: Administrative expenses 1,813 2,332 Add: Sustaining leases and Leaseback 1,430 4,189 Add: Sustaining exploration 226 — Add: Sustaining capital expenditure 4,942 6,090 AISC $ 62,634 $ 127,443 Gold sold (oz) 44,103 64,047 Cash Cost per ounce of gold sold ($/oz) 1,230 1,794 AISC per ounce of gold sold ($/oz) 1,420 1,990 Six months ended June 30, 2024 Nechi Alluvial Hemco Property Cost of sales $ 63,699 $ 115,864 Less: Depreciation and amortization (8,516 ) (15,107 ) Less: Sales of silver (96 ) (12,071 ) Less: Sales of electric energy (3,148 ) — Less: Intercompany royalty (6,319 ) — Less: Environmental rehabilitation provision (3,535 ) — Add: Use of environmental and rehabilitation liabilities 377 — Add: Use of Retirement obligations — 732 Cash Cost $ 42,462 $ 89,418 AISC Adjustments Less: Depreciation and amortization of administrative expenses (7 ) (14 ) Add: Administrative expenses 1,439 1,588 Add: Sustaining leases and Leaseback 1,401 3,438 Add: Sustaining exploration 118 — Add: Sustaining capital expenditure 5,337 5,883 AISC $ 50,750 $ 100,313 Gold sold (oz) 39,803 65,641 Cash Cost per ounce of gold sold ($/oz) 1,067 1,362 AISC per ounce of gold sold ($/oz) 1,275 1,528 Reconciliation of Cash Cost per ounce of gold sold and AISC per ounce of gold - Nechí Alluvial Segment (Colombia) The following tables provide a reconciliation of the calculation of Cash Cost per ounce of gold sold and the AISC per ounce of gold sold for the Nechí Alluvial Property (Colombia) segment for the three and six months ended June 30, 2025, reflecting changes made to the composition of those measures in the 2024 financial year and to align with the manner in which guidance is reported. Cash Cost Reconciliation AISC Reconciliation Three Months Ended June 30, 2024 Six Months Ended June 30, 2024 AISC per ounce of gold sold ($/oz) - Previously reported $ 1,475 $ 1,434 Adjustments ($/oz) Less: Intercompany royalty (168 ) (159 ) AISC per ounce of gold sold ($/oz) restated $ 1,307 $ 1,275 Net Free Cash Flow The Company uses the financial measure 'net free cash flow', which is a non-IFRS financial measure, to supplement information regarding cash flows generated by operating activities. The Company believes that in addition to IFRS financial measures, certain investors and analysts use this information to evaluate the Company's performance with respect to its operating cash flow capacity to meet recurring outflows of cash. Net free cash flow is calculated as cash flows generated by operating activities less non-discretionary sustaining capital expenditures and interest and dividends paid related to the relevant period. The following table sets out the calculation of the Company's net free cash flow to net cash flows generated by operating activities for the three and six months ended June 30, 2025, and 2024: Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 $ $ $ $ Net cash flows generated by operating activities $ 59,820 $ 7,115 $ 71,454 $ 17,220 Non-discretionary items: Sustaining capital expenditures (6,546 ) (5,515 ) (11,032 ) (11,220 ) Interest paid (680 ) (945 ) (1,432 ) (2,003 ) Dividends paid (7,473 ) (7,473 ) (14,949 ) (12,712 ) Net cash flows used in (generated from) discontinued operations 1 — — — — Net free cash flow $ 45,121 $ (6,818 ) $ 44,041 $ (8,715 ) Return on Capital Employed ('ROCE') The Company uses ROCE as a measure of long-term operating performance to measure how effectively management utilizes the capital it is provided. This non-IFRS ratio is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. The calculation of ROCE, expressed as a percentage, is Adjusted EBIT (calculated in the manner set out in the table below) divided by the average of the opening and closing capital employed for the 12 months preceding the period end. Capital employed for a period is calculated as total assets at the beginning of that period less total current liabilities. Three Months Ended June 30, 2025 Six Months Ended June 30, 2025 2025 2024 2025 2024 Adjusted EBITDA (last 12 months) $ 273,376 $ 177,044 $ 273,376 $ 177,044 Less: Depreciation and amortization (last 12 months) (50,230 ) (47,833 ) (50,230 ) (47,833 ) Adjusted EBIT (A) $ 223,146 $ 129,211 $ 223,146 $ 129,211 — — Total assets at the beginning of the period $ 582,036 $ 493,757 $ 582,036 $ 493,757 Less: Total current liabilities at the beginning of the period (106,022 ) (84,765 ) (106,022 ) (84,765 ) Opening Capital Employed (B) $ 476,014 $ 408,992 $ 476,014 $ 408,992 Total assets at the end of the period $ 679,108 $ 521,183 $ 679,108 $ 521,183 Less: Current liabilities at the end of the period (151,040 ) (106,302 ) (151,040 ) (106,302 ) Closing Capital employed (C) $ 528,068 $ 414,881 $ 528,068 $ 414,881 Average Capital employed (D)= (B) + (C) /2 $ 502,041 $ 411,937 $ 502,041 $ 411,937 ROCE (A/D) 44 % 31 % 44 % 31 % Net Debt Net Debt is a non-IFRS financial measure that provides insight regarding the liquidity position of the Company. The calculation of net debt shown below is calculated as nominal undiscounted debt including leases, less cash and cash equivalents. The following sets out the calculation of Net Debt as at June 30, 2025 and 2024. Average Realized Price The Company uses 'average realized price per ounce of gold sold' and 'average realized price per ounce of silver sold', which are non-IFRS financial measures. Average realized metal price represents the revenue from the sale of the underlying metal as per the statement of operations, adjusted to reflect the effect of trading at the holding company level (parent company) on the sales of gold purchased from subsidiaries. Average realized prices are calculated as the revenue related to gold and silver sales divided by the number of ounces of metal sold. The following table sets out the reconciliation of average realized metal prices to sales of gold and sales of silver for the three and six months ended June 30, 2025 and 2024: Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Sales of gold ($) 178,573 124,976 334,845 231,938 Gold sold (oz) 53,907 53,703 108,150 105,444 Average realized price per ounce of gold sold ($/oz) 3,313 2,327 3,096 2,200 Average realized price per ounce of gold sold ($/oz) 3,313 2,327 3,096 2,200 Sales of silver ($) 2,427 6,573 4,966 12,167 Silver sold (oz) 70,733 224,096 147,992 466,745 Average realized price per ounce of silver sold ($/oz) 34 29 34 26 Average realized price per ounce of silver sold ($/oz) 34 29 34 26 ____________________ 1 Average realized price per ounce of gold sold, Cash Cost per ounce of gold sold, and all in sustaining costs ('AISC') per ounce of gold sold, are non-IFRS financial measures with no standardized meaning under IFRS, and therefore may not be comparable to similar measures presented by other issuers. For further information and detailed reconciliations to the most directly comparable IFRS measures, see 'Non-IFRS and Other Financial Measures' in this news release. 2 Capital investments refers to additions to exploration, property, plant and equipment, and intangibles (which includes asset retirement obligation amounts and leases) for the Nechí Alluvial Property, the Hemco Property, and the La Pepa Project segments. It excludes additions to property, plant and equipment, exploration or intangibles of Mineros and other segments. For additional information as additions to exploration, property, plant and equipment, and intangibles, see Note 7 of our unaudited condensed interim consolidated financial statements for the six months ended June 30, 2025.
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01-08-2025
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Norwegian Cruise Line shares surge after record second quarter revenue
-- Norwegian Cruise Line Holdings Ltd. reported record second-quarter revenue of $2.52 billion, up 6% YoY, though slightly below analyst expectations of $2.56 billion. The company posted adjusted earnings per share of $0.51, narrowly missing the consensus estimate of $0.52, but demonstrating strong consumer demand across its brands. Norwegian's shares surged 9.6% following the announcement as investors responded positively to the company's strong performance and reaffirmed full-year guidance. The cruise operator reported that bookings have rebounded across all three of its brands, with booking levels now exceeding historical patterns in recent months. The company delivered adjusted EBITDA of $694 million, exceeding its guidance of $670 million. Net yield increased approximately 2.7% on an as-reported basis and 3.1% in constant currency, outperforming guidance of approximately 2.5%. Gross margin per capacity day increased 11% compared to the same period in 2024. "We delivered another record quarter, demonstrating once again the strong customer demand environment, the power of our brands, our outstanding onboard product, and the dedication of our team," said Harry Sommer, president and CEO of Norwegian Cruise Line (NYSE:NCLH) Holdings. Norwegian maintained its full-year 2025 guidance, projecting adjusted EPS of $2.05, representing a 16% increase from 2024. The company expects full-year net yield to increase approximately 2.5% on a constant currency basis versus 2024. The cruise operator also announced expansion plans for its private island destination, Great Stirrup Cay in the Bahamas, including a nearly six-acre waterpark expected to open in summer 2026. Additionally, the company took delivery of Oceania Allura and confirmed orders for two additional next-generation ships. Related articles Norwegian Cruise Line shares surge after record second quarter revenue Apollo economist warns: AI bubble now bigger than 1990s tech mania If Powell goes, does Fed trust go with him? Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
