Labrador Iron Ore Royalty (LIF) AGM 2026 presentation summary

Financial performance highlights

• Revenue for Q1 2026 was $35.9M, slightly down from $36.2M in Q1 2025; full-year 2025 revenue was $166.5M, down from $209.0M in 2024.

• Net income for Q1 2026 was $13.2M, compared to $21.4M in Q1 2025; full-year 2025 net income was $100.6M, down from $175.0M in 2024.

• Adjusted cash flow from operations for Q1 2026 was $19.7M, nearly unchanged from Q1 2025; full-year 2025 was $91.5M, down from $199.0M in 2024.

• In 2025, all adjusted cash flow was generated from royalty interest as IOC did not declare a dividend.

• Adjusted cash flow per share in Q1 2026 was $0.31, consistent with Q1 2025.

Operational performance and outlook

• IOC saleable production in 2025 was 15.9M tonnes, below nameplate capacity, due to pit health and equipment reliability issues.

• Q1 2026 production was 3.4M tonnes, down 13% year-over-year, constrained by haul truck failures and lower payloads.

• 2026 sales guidance is 15–18M tonnes, but actual sales are expected at the low end of this range.

• Ongoing pit health improvements will increase stripping rates, likely reducing production and cash flow for dividends.

• IOC is purchasing 6 new haul trucks in 2026 to address operational challenges.

Market environment and pricing

• Global crude steel production declined 2% in 2025, with China down 4%; Q1 2026 saw further declines.

• Platts 65% Fe Index averaged US$115/t in 2025, down from US$123/t in 2024; Q1 2026 averaged US$121/t.

• IOC's average realized price for pellets and CFS was US$109/t in 2025 and US$110/t in Q1 2026.

• Pellet premiums and CFS prices declined in 2025, impacting realized prices.

• April 2026 saw a slight price uptick, with the 65% Fe index at US$124/t and pellet premiums rising.