IperionX (IPX) Q1 2025 TU earnings summary

Executive summary

• Commissioned first commercial-scale titanium production at Virginia facility using 100% scrap titanium, achieving oxygen levels below 0.07%, surpassing ASTM standards.

• Advanced Manufacturing Center construction completed; progressive commissioning of titanium manufacturing equipment ongoing.

• Signed sourcing contract with Ford Motor Company for titanium components, expected to generate ~$11 million in revenue starting 2025.

• Entered partnership with Aperam to upcycle titanium scrap for high-performance products in consumer electronics.

• Strong commercial interest and ongoing due diligence for Titan Project's critical minerals, with a major Japanese conglomerate conducting bulk sample testing.

Financial highlights

• Cash balance of $30.4 million as of September 30, 2024.

• Received $1.7 million in Title III DPA funding this quarter; $6.4 million received to date, $6.3 million still available.

• Included in the S&P/ASX 300 Index as of September 23, 2024.

• Net cash used in operating activities for the quarter was $3.5 million; net cash used in investing activities was $3.0 million.

• Raised $4.1 million from equity securities and options during the quarter.

Outlook and guidance

• Titanium metal powder production at Virginia facility remains on-budget and on-schedule for late 2024.

• Plans to expand titanium production capacity to over 10,000 metric tons per annum by 2030.

• Anticipates further U.S. government funding to support scaling of domestic titanium supply chain.

• Titan Project technical studies (PFS/Feasibility) expected to advance after completion of pilot process design and potential funding decisions in late 2024.