Uranium Royalty (URC) Q1 2025 earnings summary

Executive summary

• Net loss of $2.2 million for Q1 FY2025, compared to $1.0 million loss in Q1 FY2024, mainly due to higher office/admin expenses and deferred tax expense.

• Working capital stood at $222 million as of July 31, 2024, with $5.4 million in cash and $207.9 million in uranium inventories.

• Acquired new royalties on Salamanca (Spain) and additional Churchrock (USA) projects for $0.7M and $4.9M, respectively.

• No ATM shares distributed in the quarter; renewed ATM program for up to US$39M in August 2024.

Financial highlights

• Net loss of $2.2 million in Q1 FY2025, up from $1.0 million loss in Q1 FY2024.

• Office/admin expenses rose to $1.4 million (Q1 FY2024: $0.4 million), mainly from increased marketing and uranium storage fees.

• Interest income increased to $0.2 million (Q1 FY2024: negligible).

• Loss on revaluation of short-term investments was $1.3 million, compared to a $4.0 million gain in Q1 FY2024.

• Uranium inventories increased to $207.9 million (April 30, 2024: $187.1 million) due to purchases.

Outlook and guidance

• Management expects sufficient cash and liquid assets to meet purchase commitments and obligations over the next 12 months.

• Focus remains on acquiring additional royalties, streams, and physical uranium, funded by ATM program and working capital.

• Long-term capital needs may require additional debt or equity financing for substantial acquisitions.