Leading Edge Materials (LEM) Q2 2025 earnings summary

Executive summary

• Reported a net loss of $1,179,168 for Q2 2025, up from $669,216 in Q1 2025 and $859,529 in Q2 2024, mainly due to higher share-based compensation and foreign exchange loss.

• Advanced Rapid Development Plan for Norra Kärr to enable early production of HREE-rich eudialyte concentrate and nepheline syenite.

• Provided updates on value creation options for Woxna Graphite, including a potential restart and production of high-quality flake graphite concentrate.

• Norra Kärr was not included in the EU's first list of Strategic Projects under the CRMA; plans to reapply.

• Granted 6,850,000 stock options to directors, officers, and consultants at $0.24 per share.

Financial highlights

• Net loss for Q2 2025 was $1,179,168, compared to $669,216 in Q1 2025 and $859,529 in Q2 2024.

• Share-based compensation expenses rose to $585,529 in Q2 2025 from $129,292 in Q1 2025 and $349,923 in Q2 2024.

• Foreign exchange loss of $117,063 in Q2 2025, compared to a gain of $1,690 in Q1 2025 and a loss of $5,754 in Q2 2024.

• Working capital as of April 30, 2025, was $1,191,514; accumulated deficit stood at $51,201,042.

Outlook and guidance

• Portfolio is well positioned amid global focus on critical raw materials and supply chain resilience.

• Woxna Graphite Mine remains production-ready; business plan update underway to support financing and potential restart.

• Norra Kärr PFS expected to be completed in Q1 2026, with phased, small-scale start under consideration.

• Bihor Sud project exploration ongoing, targeting large-scale, mineable mineral resource.