Financial Performance - Net loss for the three months ended September 30, 2025, was CAD 4,735,000, compared to a net loss of CAD 2,941,000 for the same period in 2024, reflecting an increase in loss of approximately 60.9%[5] - For the nine months ended September 30, 2025, the net loss was CAD 19,420,000, slightly improved from CAD 20,781,000 in the same period of 2024, indicating a decrease in loss of about 6.5%[5] - The operating loss for the three months ended September 30, 2025, was $4,058,000, compared to an operating loss of $3,505,000 for the same period in 2024[102] - For the nine months ended September 30, 2025, the total operating loss was $11,297,000, compared to $10,267,000 for the same period in 2024[103] - The company reported a loss before taxes of $19,420,000 for the nine months ended September 30, 2025, compared to a loss of $20,781,000 for the same period in 2024[103] Revenue and Assets - For the three months ended September 30, 2025, the Company reported revenue of $1,065 million, a 31% increase from $812 million in the same period of 2024[105] - For the nine months ended September 30, 2025, revenue reached $2,395 million, up 44% from $1,649 million in the prior year[105] - Total assets decreased to CAD 148,082,000 as of September 30, 2025, down from CAD 151,447,000 as of December 31, 2024, representing a decline of approximately 2.4%[3] Liabilities and Equity - Current liabilities increased significantly to CAD 88,098,000, compared to CAD 71,973,000 as of December 31, 2024, marking an increase of about 22.5%[3] - Shareholders' equity decreased to CAD 48,035,000 as of September 30, 2025, down from CAD 64,318,000 as of December 31, 2024, a decline of approximately 25.4%[3] - Total liabilities as of September 30, 2025, amounted to $94,277, with convertible notes payable accounting for $65,867[80] Cash Flow and Financing - Cash and cash equivalents decreased to CAD 3,044,000 as of September 30, 2025, from CAD 3,717,000 as of December 31, 2024, a decrease of about 18.1%[3] - Cash used in operating activities for the nine months ended September 30, 2025, was CAD 6,917, an improvement from CAD 10,891 in the prior year[10] - The company reported a cash inflow of CAD 7,339 from financing activities for the nine months ended September 30, 2025, compared to CAD 5,199 in the same period of 2024[10] - The Company closed a financing of $34,500 million on October 22, 2025, issuing 46,000,000 units at a price of $0.75 per unit[107] Government Support and Loans - The company received a government loan of CAD 5,267 from FedNor in 2024 to support its operations[19] - The balance of Government Loans as of September 30, 2025, is $5,008, and Government Grants total $3,124, resulting in a combined total of $8,132[38] Shareholder and Stock Options - The weighted average number of common shares outstanding increased to 17,809,773 for the three months ended September 30, 2025, compared to 14,317,536 for the same period in 2024, an increase of about 24.8%[5] - The Company issued 17,962,172 common shares as of September 30, 2025, an increase from 14,809,197 shares as of December 31, 2024, following a share consolidation[54] - The company granted 125,000 stock options at an exercise price of $2.60, with a fair value of $190, during the nine months ended September 30, 2025[61] Commitments and Future Plans - As of September 30, 2025, the total commitments amount to $139,293,000, including convertible notes payments of $122,186,000[97] - The company is constructing an expanded hydrometallurgical cobalt refinery in Ontario, Canada, and is exploring various optimizations for a recycled battery material program[15] Market and Financial Instruments - The fair value of the 2027 convertible notes is influenced by an equity volatility of 65%, with a potential increase of $207 or a decrease of $234 if volatility changes by 10%[88] - The fair value of the 2028 warrants is estimated using an equity volatility of 64%, with a potential increase of $57 or a decrease of $134 if volatility changes by 10%[90]
Electra Battery Materials (ELBM) - 2025 Q3 - Quarterly Report