Ecora Royalties (ECOR) Investor update summary

Financial performance and portfolio growth

• Portfolio contribution rose 75% in H1 2026, driven by strong base metals exposure and commodity prices.

• Adjusted earnings increased fivefold, reflecting the scalability of the royalty model and improved earnings quality.

• Net debt reduced from $125 million to $75 million, with further reductions expected by year-end.

• Free cash flow conversion improved, and operating costs remained flat year-on-year, highlighting defensiveness in inflationary environments.

• Dividend tripled year-on-year, with 25% of free cash flow paid out, aligning with a policy of 25%-35% payout.

Asset performance and operational highlights

• Voisey's Bay delivered near nameplate capacity, with potential for a 35% mill capacity increase under study.

• Mantos Blancos contributed close to $5 million, with a phase II expansion study expected in H2 2026.

• Mimbula ramp-up continued, with commissioning of the SX circuit and further expansion underway.

• Four Mile uranium and EVBC gold assets benefited from strong commodity prices, supporting portfolio diversification.

• Kestrel's contribution declined to 4%, with most volumes expected in Q3.

Growth strategy and capital allocation

• Focus remains on quality over quantity in acquisitions, prioritizing low-cost operations in established jurisdictions.

• Capital allocation framework emphasizes growth, balance sheet strength, and shareholder distributions.

• Balance sheet supports further growth, with leverage expected to fall below 1x by year-end.

• Portfolio is now 85% base metals, with copper representing 50% of NAV and expected to drive future growth.