Integra Resources(ITRG) - 2024 Q1 - Quarterly Report

Financial Performance - Total operating loss for the three-month period ended June 30, 2023, was $6,000,874, compared to $6,998,213 for the same period in 2022, representing a decrease of approximately 14.3%[7]. - Net loss for the six-month period ended June 30, 2023, was $12,270,937, compared to $13,946,691 for the same period in 2022, indicating a reduction of about 12%[7]. - Comprehensive loss for the three-month period ended June 30, 2023, was $6,784,380, compared to $6,887,883 for the same period in 2022, a decrease of about 1.5%[7]. - Net loss per share for the three-month period ended June 30, 2023, was $0.07, compared to $0.12 for the same period in 2022, indicating an improvement[7]. - Net loss for the six-month period ended June 30, 2024, was $12,270,937, compared to a net loss of $13,946,691 for the same period in 2023, representing a decrease of approximately 12%[13]. Assets and Liabilities - As of June 30, 2024, Integra Resources Corp. reported total current assets of $17,013,281, an increase of 72.5% from $9,867,457 on December 31, 2023[5]. - Total liabilities decreased to $38,323,757 from $41,868,741, a reduction of approximately 8.5%[5]. - Current liabilities totaled $16,107,623, slightly down from $16,671,379, a decrease of 3.4%[5]. - The accumulated deficit increased to $(161,366,436) from $(149,095,499), reflecting a decline of 8.2% in retained earnings[5]. - Total equity as of June 30, 2024, was $41,170,909, up from $40,520,246, marking a growth of 1.6%[5]. Cash Flow and Investments - Cash flow used in operating activities decreased to $11,965,769 for the six-month period ended June 30, 2024, from $13,063,294 in 2023, indicating an improvement of about 8%[13]. - Cash and cash equivalents at the end of the period were $10,585,717, down from $23,406,053 at the end of June 30, 2023, reflecting a decrease of approximately 55%[13]. - The company reported cash flow provided by investing activities of $4,111,708 for the six-month period ended June 30, 2024, compared to cash used in investing activities of $3,667,421 in 2023[13]. - The issuance of common shares for financing generated $11,097,517 in the six-month period ended June 30, 2024, compared to $25,799,794 in 2023, indicating a decrease of approximately 57%[13]. Exploration and Evaluation - The company reported exploration and evaluation assets of $58,679,168, down from $68,402,183, a decrease of 14.3%[5]. - The company spent $7,486,717 on exploration and evaluation activities during the six-month period ended June 30, 2024, compared to $10,666,135 for the same period in 2023[85]. - Total exploration and evaluation expenses for the six-month period ended June 30, 2024, amounted to $7,486,717, compared to $10,666,135 for the same period in 2023, representing a decrease of approximately 30.3%[88][91]. - Significant costs included permitting expenses of $1,538,877 for the six-month period in 2024, down from $2,268,005 in 2023, a reduction of approximately 32.3%[88][91]. - The DeLamar Project in Idaho accounted for a significant portion of exploration expenses, with $5,766,724 allocated for the six-month period ended June 30, 2024[88]. Acquisitions and Growth Strategy - Integra Resources Corp. announced the acquisition of Florida Canyon Gold Inc. as part of its growth strategy[17]. - The company completed the acquisition of Rich Gulch LLC, which was classified as an asset acquisition rather than a business combination[34]. - Integra completed the acquisition of Millennial Precious Metals Corp on May 4, 2023, issuing 16,872,050 common shares valued at $23,996,732 based on the closing share price[94]. - The company has a portfolio of early-stage exploration projects in Idaho, Nevada, and Arizona, enhancing its growth potential[15]. - The company announced on July 29, 2024, its agreement to acquire all issued and outstanding shares of Florida Canyon Gold Inc[39]. Financial Management and Controls - The company has established internal control systems to ensure reliable financial reporting[2]. - The Audit Committee assists the Board in reviewing financial statements and ensuring compliance with financial standards[3]. - Integra has not established quantitative return on capital criteria but relies on management expertise for future development[37]. - The company intends to raise additional funds through various means, including equity capital sales and royalty sales, to support its projects[38]. Shareholder and Equity Information - As of June 30, 2024, the total issued and outstanding common shares increased to 88,458,702 from 68,871,437 at December 31, 2023[133]. - The balance for share-based payments related to stock options increased to $6,417,239 as of June 30, 2024, from $6,057,022 a year earlier[145]. - The company granted 1,603,371 stock options on December 20, 2023, at an exercise price of $1.04, with an associated share-based payment of $909,007[146]. - The total number of stock options outstanding as of June 30, 2024, was 3,199,394, with a weighted average exercise price of $3.01[143]. - The company issued 56,662 deferred share units to directors in lieu of fees for the six-month period ended June 30, 2024, compared to 38,893 units for the same period in 2023[99].