Steppe Gold (STGO) Q2 2025 earnings summary

Executive summary

• Reported Q2 2025 revenue of $32.3M on sales of 15,058 ounces of gold; H1 2025 revenue totaled $64.7M on 30,669 ounces sold.

• Average realized gold price was $2,147/oz in Q2 and $2,109/oz in H1, impacted by a forward contract at $2,000/oz, which expired June 10, 2025; subsequent sales at spot price.

• Adjusted EBITDA after maintenance capex was $17.9M for Q2 and $36.5M for H1 2025.

• Management and board changes implemented to streamline executive roles, including new COOs for Boroo Gold and Steppe Gold LLC.

Financial highlights

• Site All-in Sustaining Costs (AISC) for H1 2025 was $1,088/oz; Q2 AISC was $1,475/oz, reflecting higher sustaining capex, mainly at Boroo Mine.

• Working capital stood at $141.7M as of June 30, 2025, including $100.4M in high-interest bond investments maturing December 2025.

• Net debt was $58.3M after bond investments.

• Income tax payments of $18.2M made in H1 2025.

Outlook and guidance

• All gold production in H2 2025 expected to be sold at spot prices, supporting strong operating cash flow.

• Bond maturity in December 2025 ($104M) anticipated to significantly reduce debt.

• Ongoing negotiations for ATO Phase 2 Expansion financing; may seek third-party partners if needed.

• Continued focus on maximizing production, extending mine life, and exploring organic and acquisition growth opportunities.