Cameco (CCO) Q1 2025 earnings summary

Executive summary

• Achieved strong Q1 2025 financial and operational results, with revenue up 24%, gross profit up 44%, adjusted net earnings up 52%, and adjusted EBITDA up 5% year-over-year, despite normal variability and amortization impacts.

• Delivered 6.9 million pounds U3O8 under contract and produced 6.0 million pounds (company share); fuel services segment delivered 2.4 million KgU and produced 3.9 million KgU.

• Maintained a solid financial position, fully repaying the $600 million U.S. term loan for the Westinghouse acquisition and receiving $49 million from Westinghouse and $87 million from JV Inkai.

• Continued operational, marketing, and financial discipline, focusing on long-term contracting and value creation.

• Full-cycle market fundamentals remain positive, with utilities adjusting supply chains and the company positioned to benefit from market transitions.

Financial highlights

• Q1 2025 revenue rose 24% to $789 million; gross profit up 44% to $270 million; adjusted net earnings were $70 million, up from a net loss of $7 million in Q1 2024; adjusted EBITDA increased 5% to $353 million.

• Average realized price increased year-over-year in uranium and fuel services, despite a 30% drop in uranium spot price.

• Cash provided by operations increased 75% year-over-year to $110 million.

• Liquidity at $361 million cash and $1 billion undrawn credit facility as of March 31, 2025.

• Final $200 million repayment made on the $600 million U.S. term loan for Westinghouse acquisition.

Outlook and guidance

• 2025 production guidance unchanged: 18 million pounds each at McArthur River/Key Lake and Cigar Lake (100% basis); company share annual production outlook set at 22.4 million lbs U3O8.

• JV Inkai targets 8.3 million lbs production for 2025 (100% basis), with 3.7 million lbs as company share; deliveries expected in H2 2025 or later.

• Fuel services annual production guidance at 13–14 million KgU.

• Westinghouse adjusted EBITDA expected between $355 million and $405 million for 2025, with stronger performance anticipated in Q4.

• Strong cash flow generation expected for 2025, supported by improving prices and a return to a tier-one cost structure.