Magna Mining (NICU) Q3 2025 earnings summary

Executive summary

• Q3 2025 marked the second full quarter of operations at McCreedy West and Pre-U.S. mine, with 75,215 tons processed at a 2.64% copper equivalent grade and sequential improvement in tonnage and development rates despite operational setbacks.

• Quarterly production reached 2.74 million lbs CuEq, impacted by delays but with access to higher-grade stopes achieved in early November.

• Workforce expansion, equipment investment, and infrastructure upgrades continued to support growth and operational optimization.

• Progress advanced at Levack mine, including the first NI 43-101 mineral resource estimate and ongoing exploration for new copper-precious metal-rich discoveries.

• The company remains well-funded following a brokered equity offering and warrant exercises, eliminating all outstanding warrants.

Financial highlights

• McCreedy West Mine generated net revenue of $16.3 million in Q3 2025, down from $18.5 million in Q2.

• Adjusted net loss was $10.4 million, or ($0.05) per share.

• Operating cash outflow was $14.4 million, with free cash outflow of $14.4 million, including $4.2 million in capital expenditures.

• Cash balance at September 30, 2025, was $63.1 million, with an additional $6 million raised from warrant exercises post-quarter.

• Preliminary purchase price allocation from the KGHM asset acquisition resulted in a bargain purchase gain of CAD 36.6 million.

Outlook and guidance

• Tracking toward the lower end of Q4 ore sales guidance, with improved copper equivalent grades expected as access to higher-grade stopes has been established.

• 2026 operational guidance to be provided in January or early February 2026.

• Life of mine plan with reserves for McCreedy West to be announced in Q1 2026.

• Preliminary economic assessment (PEA) for Levack mine to be initiated before year-end and completed during 2026.

• Well-funded to advance Sudbury projects and exploration following recent equity and warrant proceeds.