Lovisagruvan (LOVI) Q3 2025 earnings summary

Executive summary

• Q3 was marked by a summer break, with no production in July and focus on ore crushing and sorting in August and September ahead of deliveries starting after the quarter.

• Internal improvements were made in work environment and safety, with updated routines and risk assessments in preparation for production restart.

• Financial support was secured through an increased credit line from Nordea, a loan from Almi, and shareholder loans, reflecting confidence in the company's value.

• Ore deliveries to Boliden Zinkgruvan began in October, with negotiations ongoing for additional and larger future deliveries.

• The quarter was calm in terms of production but strong in preparations and business development.

Financial highlights

• Q3 revenue was 0.0 MSEK, down from 19.4 MSEK year-over-year, due to no ore deliveries during the quarter.

• Operating result before depreciation (gruvresultat) was -4.9 MSEK (7.7), and after depreciation -6.7 MSEK (5.6).

• Result after financial items was -7.1 MSEK (5.3).

• Earnings per share for Q3 was -1.44 SEK (1.08).

• For the first nine months, revenue was 0.0 MSEK (19.4), operating result before depreciation -17.1 MSEK (5.7), after depreciation -22.8 MSEK (-0.9), and result after financial items -23.4 MSEK (-2.2).

• Cash flow from operations for the first nine months was -21.8 MSEK (-18.5), with investments of 0.8 MSEK (2.1).

Outlook and guidance

• Ore deliveries to Boliden Zinkgruvan started in October and are expected to last five weeks, with negotiations for further and larger deliveries ongoing.

• Production is expected to resume in Q4 2025, with a return to normal operations targeted for mid-2026.

• New business discussions could lead to a significant delivery of 25-30 kton in Q2 2026.