Mountain Province Diamonds (MPVD) Q1 2025 earnings summary

Executive summary

• Achieved over 3.85 million hours without a lost-time injury, reflecting strong safety performance; TRIFR dropped to 2.14 from 6.37 year-over-year.

• Q1 2025 saw 426,000 carats sold for $44.0 million, averaging $103 per carat, down from 938,000 carats and $89.4 million in Q1 2024.

• Process plant throughput improved 15% year-over-year; total tons mined up 28% from Q1 2024.

• Early access to the higher-grade NEX ore body was achieved, expected to improve future grades and revenues.

• Operational performance was strong, but Q1 2025 faced low ore grades and continued depressed diamond pricing, impacting cash flow and sales volumes.

Financial highlights

• Adjusted EBITDA for Q1 2025 was $6.1 million, down from $50 million in Q1 2024; margin dropped to 14% from 56%.

• Revenue for Q1 2025 was $44 million, a $45 million decrease from Q1 2024.

• Net loss after tax was $34.4 million, or $0.16 per share, compared to a net gain of $6.9 million or $0.03 per share in Q1 2024.

• Cash flows from operating activities were an outflow of $916,000, compared to an inflow of $39.95 million in Q1 2024.

• Cost of sales per carat rose to $156 from $63 year-over-year.

Outlook and guidance

• Focus remains on accessing the NEX ore body to improve grades and revenues, with management anticipating earlier access to higher grade ore.

• Optimism for market stabilization and price recovery in 2025, with continued cost control and operational efficiency.

• 2026 expected to be a strong production year if NEX access continues as planned.