Elemental Royalty (ELE) Q3 2025 earnings summary

Executive summary

• Closed transformative merger with EMX Royalty, creating a $1 billion market cap royalty company with over 200 assets and four cornerstone royalties; merger expected to close in November 2025, forming a new mid-tier precious metals royalty company.

• Leadership transitions: CEO and CFO of Elemental Altus moving to COO/President and CIO roles in the new entity.

• Announced and closed multiple acquisitions, including Dugbe and Laverton royalties, expanding the portfolio.

• Secured $100 million in non-dilutive capital and completed $100 million financing with Tether to support expansion.

• Nasdaq main board listing is well progressed, pending SEC review.

Financial highlights

• Q3 adjusted revenue reached $8.2 million, up 70% year-over-year; royalty revenue was $6.9 million.

• Adjusted EBITDA was $6.2 million, up 67% sequentially from Q2 2024.

• Adjusted cash flows from operations were $5 million, up nearly 80% year-over-year.

• Q3 gold equivalent ounces (GEO) were 2,362, up 22% year-over-year.

• Net profit for Q3 2025 was $1.4 million, compared to $0.6 million in Q3 2024.

Outlook and guidance

• On track to meet midpoint of GEO guidance (11,600–13,200 GEOs) for the year, a 38% increase year-over-year.

• Upgraded revenue guidance to $42 million at midpoint, reflecting higher gold prices in Q4.

• Expecting new paying royalties from assets such as Chapi, Gediktepe, and Western Queen in the near term.

• The EMX merger will create a $1bn royalty company with projected $80 million adjusted revenue in 2026.

• Tether's $100 million financing will be completed with the EMX merger.