Image source: © 2025 Krish Capital Pty.Ltd

Highlights

  • Revenues increased 33.4 percent year on year to CAD 175.8 million in Q2 2025.
  • Adjusted EBITDA grew 84.2 percent year on year to CAD 99.5 million in Q2 2025.
  • Net income almost doubled to CAD 40.6 million while total debt fell to CAD 277.3 million.

Imperial Metals Corporation (TSX: III), headquartered in Vancouver, is focused on acquiring, exploring, developing, and producing base and precious metals. The company’s key assets in British Columbia include the wholly owned Mount Polley and Huckleberry copper mines, as well as a 30% stake in the Red Chris mine.

In the second quarter of 2025, Imperial Metals reported total revenues of CAD 175.8 million, representing a 33.4 percent increase from CAD 131.7 million in the second quarter of 2024. Higher gold prices and increased copper-gold production at Mount Polley and Red Chris mainly drove this increase. Adjusted EBITDA rose to CAD 99.5 million from CAD 54.0 million a year earlier, reflecting higher revenues together with improved operating efficiencies and lower cash costs. Net income nearly doubled to CAD 40.6 million from CAD 20.4 million, supported by production performance and favourable commodity pricing, while total debt decreased to CAD 277.3 million from CAD 379.3 million because of cash generation and repayment of borrowings.

Business Update

On 29 August 2025, III announced that it had received a permit amendment from the British Columbia government approving the expansion and extension of mining activities at Mount Polley Mine. The amendment allows pit development and the expansion of rock storage areas within the existing mine footprint, extending the mine’s operating life to approximately 2033.

On 18 August 2025, the company reported the full conversion of CAD 47 million in Senior Unsecured Convertible Debentures into equity. The conversion improves liquidity by eliminating a large upcoming cash redemption obligation, reduces cash flow pressure, strengthens the balance sheet, and lowers refinancing risk, providing greater financial flexibility to support operations and growth projects.

Company Outlook

For the second half of 2025, Imperial Metals Corporation expects a favourable performance, continuing the momentum from the first half with higher production and financial results. Production at the Red Chris mine is projected to remain steady or increase, supported by ongoing block cave feasibility studies and underground development, after the first half delivered a 25 percent increase in copper output and a 101 percent increase in gold output year on year.

Mount Polley is expected to maintain higher throughput and production gains, driven by Phase 5 pushback work and reinforcement of the tailings facility. Capital expenditures will remain elevated with a focus on mine development and infrastructure. Supported by operational cash flow, a CAD 125 million credit facility, and consistent concentrate shipments, the company is positioned to meet its 2025 guidance, although management notes risks related to the Fisheries Act indictment and potential permitting delays.

Top 10 Shareholders

The top ten shareholders of III collectively hold approximately 71.19 percent of the company’s total shareholding. The largest stakes are held by Edwards (Norman Murray) at around 50.84 percent and Fairholme Capital Management L.L.C. at about 10.87 percent.

Stock Information 
 The stock has gained approximately 1.9% in the past month and 20.5% over the past year. It is currently trading well above its 52-week low of CAD 1.70 but below its 52-week high of CAD 5.53. As of 2 September 2025, III closed at CAD 4.82.

Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference data for all price data, currency, technical indicators, support, and resistance levels Is 2 September 2025. The reference data in this report has been partly sourced from EODHD/Others.

Technical Indicators Defined

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.
Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.