ELE · Elemental Royalty Corporation Common Stock

Elemental Royalty Corporation delivered a robust Q1 2026 performance with revenue more than doubling year-over-year to $24.3 million, primarily fueled by contributions from an expanded portfolio including new cash-flowing royalties at Bonikro ($6.15M), Karlawinda ($2.82M), Timok ($2.24M), Caserones ($6.84M attributable), Leeville ($2.07M), and Gediktepe ($1.08M), reflecting the benefits of the prior EMX Royalty acquisition which broadened scale and diversification. Gross profit rose to $15.7 million despite higher depletion of $8.6 million, yielding solid margins amid elevated metal prices. Operating profit increased 52% to $6.6 million, though pressured by elevated G&A ($5.6M from $1.6M), royalty generation expenses ($1.4M), and share-based compensation ($2.0M). Net income moderated to $1.1 million due to a $2.5 million revaluation loss on financial instruments and higher tax expense of $3.1 million, resulting in EPS of $0.02. Management highlighted strong GEO sales of 4,983 ounces versus 4,606 prior year. Balance sheet strengthened with cash up 30% to $69.1 million and working capital at $92.5 million, supported by robust $14.5 million operating cash flow. Key corporate actions included the inaugural $0.03 quarterly dividend (annualized $0.12/share, elective in Tether Gold), signaling cash flow confidence, and an upsized $150M credit facility (plus $50M accordion) for acquisition pursuits. Post-EMX merger, the company leverages 256 royalties across gold, copper, and base metals for near-term flows and long-term upside from assets like Timok and Karlawinda.