Bunker Hill Mining (BNKR) Q4 2024 earnings summary

Executive summary

• Focused on restarting the Bunker Hill Mine in Idaho, with significant progress in mine and process plant development during 2024, but commercial production delayed to 2026 due to increased capital requirements and supply chain factors.

• Raised substantial financing through a $67M Sprott package, a $46M stream, a $21M debt facility, and a $32M Silver Loan, but faces ongoing liquidity challenges and a working capital deficit.

• Accumulated deficit reached $110.4M as of December 31, 2024, with no revenue generated and a net loss of $25.3M for the year.

Financial highlights

• No revenue in 2024 or 2023; net loss increased to $25.3M in 2024 from $13.4M in 2023.

• Operating expenses rose to $15.6M in 2024, up from $11.6M in 2023, mainly due to increased construction and staffing.

• Interest expense increased to $8.1M in 2024, and a $2.8M loss was recognized on the revaluation of the Silver Loan.

• Cash and equivalents at year-end 2024 were $3.8M (excluding $4.5M restricted cash), with a working capital deficit of $20.3M.

• Total assets grew to $97.6M, while total liabilities rose sharply to $149.7M.

Outlook and guidance

• Restart of the Bunker Hill Mine is now targeted for 2026, with total restart expenditure forecasted at $103M, up from $67M previously.

• Additional financing is being sought, including a planned $45M equity raise and further debt restructuring.

• Ongoing discussions with strategic partners for up to $40M in offtake or similar financing.