Franco-Nevada Reports Record Q3 2025 Results

Core Insights - Franco-Nevada reported record quarterly results driven by higher gold prices, strong operations, new acquisitions, and the sale of Cobre Panama copper concentrate stockpiles [1] - The company is now debt-free after utilizing its corporate revolver for the Arthur Gold royalty acquisition [1] - The CEO expressed confidence in the company's growth potential due to a robust portfolio of producing, development, and exploration stage royalties on primary gold assets [1] Financial Highlights – Q3 2025 - Revenue reached $487.7 million, a 77% increase from Q3 2024 [5] - Total GEOs sold were 138,772, up 26% from the previous year [5] - Precious metals accounted for 85% of revenue, with gold contributing 72% [7] Financial Highlights – YTD 2025 - Year-to-date revenue was $1,225.5 million, a 55% increase compared to YTD 2024 [5] - Total GEOs sold year-to-date were 377,450, a 10% increase from the previous year [5] - Adjusted EBITDA for the year-to-date was $1,114.9 million, reflecting a 65% increase [5] GEOs Sold and Revenue by Commodity - Precious metals saw significant increases in GEOs sold: Gold at 101,068 GEOs ($351.6 million), Silver at 15,407 GEOs ($55.4 million), and PGM at 2,634 GEOs ($9.5 million) for Q3 2025 [4] - Diversified assets generated $67.1 million in revenue, a slight increase from $61.2 million in Q3 2024 [28] Guidance - The company has updated its 2025 guidance for Precious Metal GEO sales to a range of 420,000 - 440,000, up from the initial guidance of 385,000 - 425,000 [11] - Total GEO sales guidance has been narrowed to 495,000 - 525,000 [11] Cobre Panama Updates - Cobre Panama is currently in a Preservation and Safe Management phase, with production halted [13] - The shipment of copper concentrate has been completed, and the power plant is expected to restart in Q4 2025 [13] Management and Sustainability Updates - A senior vice president has left the company, and the CEO acknowledged his contributions [15] - The company continues to receive high sustainability ratings and has expanded its diversity scholarship program [15] Portfolio Additions - Franco-Nevada acquired a 1.0% NSR on the Arthur Gold Project for $250 million and an additional NSR on the Gold Quarry mine for $10.5 million [16][17] - The company expects to receive a minimum of 1,650 gold ounces annually from the Gold Quarry mine [17]