Akobo Minerals (AKOBO) Q2 2025 earnings summary

Executive summary

• Transitioned from exploration to commercial gold production at Segele mine, achieving consistent mining and operational improvements, with strong local presence and strategic license advantages.

• Produced 45 kg of gold by end of August, with Q3 expected to be the first profitable quarter and positive cash flow.

• Financial restructuring included a $3 million investment from Ethiopian Investment Holdings and conversion of convertible loans to equity, improving capital structure.

• Operational improvements included new leadership, commissioning of a chemical-free gravity circuit, and enhanced recovery processes.

• Strong support from government, lenders, and new operational leadership driving improvements.

Financial highlights

• Q2 2025 revenue was SEK 9.6 million, with EBITDA at SEK -3.1 million and cash balance at SEK 7.0 million at period end.

• Produced 8 kg gold in July and 7 kg in August, totaling 45 kg by end of August; targeting at least 20 kg for Q3.

• Gold purity above 90% in July, with average grade at 45 g/t for the month and all-time average around 20 g/t.

• Gold price reached $3,800/oz, supporting strong margins and cash flow.

• Result after financial items for Q2-2025 was SEK -24.6 million; YTD result at SEK -79.8 million.

Outlook and guidance

• Q3 expected to be the first profitable quarter, with positive cash flow and highest gold sales to date.

• Focus on maintaining minimum 5 kg gold production per month until vertical shaft is operational.

• Advancing vertical shaft development, expanding mine access, and optimizing recovery remain priorities.

• Exploration strategy being refined, with new manager recruitment underway.