Leo Lithium (LLL) Q2 2025 TU earnings summary

Executive summary

• Received US$177.6 million from Ganfeng for the sale of the remaining interest in the Goulamina Lithium Project, with most funds converted to A$281.6 million via a hedged call option, yielding an extra A$9.8 million over spot rates.

• M&A discussions for lithium hard rock assets are ongoing, with optimism for a transaction announcement in the current quarter; if not, Tranche 2 funds will be returned to shareholders in H2 2025.

• All AGM resolutions were approved, and a new auditor, BDO Audit Pty Ltd, was appointed.

Financial highlights

• Closing cash balance as of 30 June 2025 was A$53.3 million, down from A$57.6 million at 31 March 2025.

• Major cash outflows included A$2.1 million in income tax, A$1.3 million advisory fee, A$0.9 million in salaries, and A$0.9 million in admin and corporate costs.

• Interest income on cash reserves totaled A$0.8 million for the quarter.

Outlook and guidance

• If no significant M&A progress by Q3 2025, Tranche 2 funds will be returned to shareholders in H2 2025.

• Any acquisition will require shareholder approval and may trigger an application to relist on the ASX if completed after 19 September 2025.

• Management remains optimistic about announcing a transaction in the current quarter, subject to final negotiations.