Evion Group (EVG) Q2 2025 TU earnings summary

Executive summary

• Secured first sales of A$2m from 50/50 expandable graphite JV in India, with all initial production contracted to European buyers at favorable terms.

• First shipments from India set to commence, with operations on track to complete a 400-tonne order for Europe.

• Madagascar's Maniry Graphite Project advanced with strong community and government support, including formal endorsement for conversion of exploration licenses to exploitation licenses.

• Rights Issue launched to raise up to A$2.7m to fund growth and development.

Financial highlights

• JV expects over A$2m from initial 386 tonnes sold at >US$3,000/mt FOB; production costs estimated at US$1,500–1,750/mt.

• Gross revenue for first full year of JV operations projected at US$6–7m, with potential to double plant capacity.

• Closed quarter with A$0.73m in cash and deposits; net cash used in operating activities was A$586,000.

• Approximately A$99,000 spent on exploration, A$231,000 on staff, and A$297,000 on admin/corporate costs during the quarter.

Outlook and guidance

• JV sales pipeline strong for Q1 and Q2 2025, with plans to double production capacity to 4,000 tonnes per annum.

• Anticipates sales prices to be ~10% higher in Q2 and Q3 2025.

• Awaiting EU grant application outcome for funding under the Critical Raw Materials Act.

• Maniry Project development contingent on final license approvals, environmental permits, offtake agreements, and financing.