Strategic Minerals (SML) H1 2025 earnings summary

Executive summary

• Entered a new operational phase in H1 2025, focusing on accelerating Redmoor Project development using cash flows from Cobre operations.

• Cobre magnetite operation maintained strong performance despite a 10-day wildfire shutdown; Redmoor exploration drilling commenced for the first time since 2018.

• Board restructuring and new leadership appointments supported strategic refocus.

Financial highlights

• Revenue for H1 2025 was $2,001,000, down 6% year-over-year due to a temporary Cobre shutdown (H1 2024: $2,136,000).

• Pre-tax profit was $568,000 (H1 2024: $950,000); post-tax profit was $151,000 (H1 2024: $667,000), impacted by one-off board restructuring costs, tax settlements, and increased Redmoor investment.

• Unrestricted cash at 30 June 2025 was $1,532,000, up from $621,000 at 31 Dec 2024, following an oversubscribed £1.0 million placing.

• Basic and diluted EPS for continuing operations was $0.009 (H1 2024: $0.033).

Outlook and guidance

• Confident that lost Cobre revenue will be offset in H2 2025, with strong Q3 sales already observed.

• Strategy centers on unlocking Redmoor’s value, aiming to supply up to 30% of Europe’s tungsten needs.

• Redmoor’s updated Mineral Resource Estimate (MRE) expected in Q1 2026, with prefeasibility targeted by March 2026.