Mountain Province Diamonds Announces Full Year and Fourth Quarter 2025 Results

Core Insights - Mountain Province Diamonds reported significant financial and operational challenges for Q4 2025 and FY 2025, with a notable decline in revenue and increased net losses compared to the previous year [3][12][19]. Operational Highlights - In Q4 2025, the company mined a total of 8,241,493 tonnes, an 8% decrease from Q4 2024, while total tonnes mined for FY 2025 increased by 16% to 38,701,114 tonnes [4][6]. - The company recovered 1,861,856 carats in Q4 2025, a 109% increase from Q4 2024, but the total carats recovered for FY 2025 was 4,333,792, a 7% decrease from FY 2024 [4][6]. - The average grade of diamonds recovered in Q4 2025 was 2.15 carats per tonne, a 117% increase compared to Q4 2024 [4][5]. Financial Highlights - Total sales revenue for Q4 2025 was $155.7 million (US$111.5 million), down from $267.7 million (US$195.2 million) in Q4 2024, with an average realized value of $83 per carat [12][19]. - The adjusted EBITDA for Q4 2025 was $4.8 million, a 95% decrease from $90.7 million in Q4 2024 [4][12]. - The net loss for Q4 2025 was $279.5 million, or $1.32 loss per share, compared to a net loss of $80.8 million, or $0.38 loss per share in Q4 2024 [12][19]. Market Commentary - The CEO noted that 2025 was expected to be challenging due to processing lower-grade stockpiles and geopolitical uncertainties affecting diamond market conditions, particularly in the U.S. market [9][10]. - The introduction of tariffs on Indian diamond manufacturing and increased competition from lab-grown diamonds have negatively impacted market confidence [9][10]. - The company announced a pause on the Tuzo Phase 3 project to preserve liquidity amid deteriorating market conditions [10].