TORONTO, May 13, 2025 (GLOBE NEWSWIRE) -- "The first quarter of 2025 was an important step forward for us - a period where we continued to execute on our long-term strategy and strengthen the business for the future," said Jonathan Goodman, President and Chief Executive Officer of Dundee Corporation. "We've been steadily working to simplify our portfolio, reduce leverage, and sharpen our focus on our core mining strategy. This quarter, we delivered on that plan. In February, we announced the pending sale of our interest in Android Industries to a strategic buyer - a transaction that once closed, will mark a significant milestone in our efforts to simplify the business and recycle capital into our core mining strategy. We also realized proceeds from the sale of G Mining Ventures, which we received in connection with G Mining's acquisition of Reunion Gold last year. This outcome is a clear example of our approach in action: identifying high-quality assets early, backing strong teams, and exiting when value has been crystallized. The monetization of our original investment in Reunion, realized through the sale of G Mining Ventures shares, allowed us to fully repay our corporate loan facility. As a result, we ended the quarter with no debt at the parent level - a key strategic achievement that enhances our financial flexibility going forward."
"Against a backdrop of rising gold prices, solid mining equity performance, and heightened macro uncertainty, we saw a timely opportunity to increase our exposure to high conviction investments. We participated in Magna Mining's convertible debenture to support the integration of a producing copper-nickel-PGM asset in Sudbury. We also initiated a new position in Revival Gold through a strategic placement. Revival is advancing a portfolio of gold projects in the U.S. with scale, quality, and potential - and we are excited to support their progress as a new partner. Each of these investments reflects the kinds of assets and teams we want to align with: technically strong, well-managed, and positioned to deliver meaningful long-term value."
Mr. Goodman concluded: "We ended the quarter with a strong cash position, no parent-level debt, and a royalty that will deliver cash flow to Dundee in the second half of 2025. We are operating from a position of strength and focus. We are proud of what we have accomplished this quarter and remain energized by the opportunity ahead. None of this progress would be possible without the dedication, focus, and sharp execution of our team - they continue to be the driving force behind everything we achieve."
FIRST QUARTER 2025 RESULTS
- The Corporation sold its remaining 2.9 million shares of G Mining Ventures Corp. ("G Mining") for net proceeds of $45.3 million, after registering an additional $14.2 million investment gain during the quarter.
- In February, Dundee repaid the remaining $5.0 million of loan principal outstanding with Earlston Investments Corp.
- In February, Dundee announced the sale of its interest in Android Industries, LLC ("Android") for cash proceeds of approximately $24.5 million at closing, with additional proceeds payable contingent upon the release of all escrows. The transaction is now expected to close in the second quarter of 2025, subject to customary closing conditions and obtaining necessary regulatory approvals.
- Reported net income from all portfolio investments for the first quarter of 2025 of $28.1 million (2024 - $12.6 million). Other than G Mining, the key drivers of performance during the quarter included investment gains of $4.5 million and $3.8 million in the Corporation's investments in Ausgold Limited and Greenheart Gold Inc., respectively.
- Reported consolidated general and administrative expenses for the first quarter of 2025 of $4.5 million (2024 - $4.1 million).
- Reported net earnings attributable to owners of the Corporation for the first quarter of 2025 of $24.5 million (2024 - $7.2 million), or earnings per share on a diluted basis of $0.25 (2024 - $0.07 per share).
SEGMENTED FINANCIAL RESULTS
Mining Investments
In the first quarter of 2025, the Corporation reported net earnings before taxes from the mining investments segment of $29.8 million (2024 - $9.3 million). Drivers of performance are described in the highlights above. The share of income from equity accounted mining investments during the first quarter of 2025 was $0.2 million (2024 - loss of $0.5 million).
Corporate and others
The Corporation reported a pre-tax loss from the corporate and others segment, including non-core subsidiaries, of $4.1 million (2024 - $0.4 million) during the three months ended March 31, 2025.
The fair value of non-mining portfolio investments in the corporate and others segment decreased by $1.4 million (2024 - increased by $2.8 million) during the first quarter of the current year and was driven almost exclusively by the investment revaluation of Dundee's ownership in TauRx Pharmaceuticals Ltd., owing to an increase to the discount rate used to value this investment at March 31, 2025.
During the same period, the segment's non-mining equity accounted investments reported pre-tax earnings of $0.03 million (2024 - $0.1 million). Also, the segment's subsidiaries reported pre-tax losses of $0.1 million (2024 - $0.6 million).
Mining Services
During the first quarter of 2025, the mining services segment, comprised of the Corporation's 78%-owned subsidiary, Dundee Sustainable Technologies Inc., reported a pre-tax loss of $1.7 million (2024 - $1.2 million).
SHAREHOLDERS' EQUITY ON A PER SHARE BASIS
| Carrying value as at | March 31, 2025 | December 31, 2024 | ||||||
| Mining Investments | ||||||||
| Portfolio investments | $ | 93,649 | $ | 95,490 | ||||
| Equity accounted investments | 31,273 | 30,013 | ||||||
| Royalty | 18,921 | 18,921 | ||||||
| 143,843 | 144,424 | |||||||
| Corporate and Others | ||||||||
| Corporate | 64,253 | 32,976 | ||||||
| Portfolio investments ? other | 68,721 | 70,495 | ||||||
| Equity accounted investments ? other | - | 30,240 | ||||||
| Real estate joint ventures | 2,291 | 2,364 | ||||||
| Subsidiaries | (106 | ) | 3,403 | |||||
| Equity accounted investments ? Held-for-Sale | 30,414 | - | ||||||
| 165,573 | 139,478 | |||||||
| Mining Services | ||||||||
| Subsidiaries | (535 | ) | (208 | ) | ||||
| (535 | ) | (208 | ) | |||||
| SHAREHOLDERS' EQUITY ATTRIBUTABLE TO CLASS A SUBORDINATE SHARES | ||||||||
| AND CLASS B SHARES OF THE CORPORATION | $ | 308,881 | $ | 283,694 | ||||
| Number of shares of the Corporation issued and outstanding: | ||||||||
| Class A Subordinate Shares | 86,305,197 | 86,269,735 | ||||||
| Class B Shares | 3,114,491 | 3,114,491 | ||||||
| Total number of shares issued and outstanding | 89,419,688 | 89,384,226 | ||||||
| SHAREHOLDERS' EQUITY ON A PER SHARE BASIS | $ | 3.45 | $ | 3.17 | ||||
The Corporation's unaudited interim consolidated financial statements as at and for the three months ended March 31, 2025 and 2024, along with the accompanying management's discussion and analysis, have been filed on the System for Electronic Document Analysis and Retrieval ("SEDAR") and may be viewed by interested parties under the Corporation's profile at www.sedarplus.ca or the Corporation's website at www.dundeecorporation.com.
ABOUT DUNDEE CORPORATION:
Dundee Corporation is a public Canadian independent mining-focused holding company, listed on the Toronto Stock Exchange under the symbol "DC.A". The Corporation is primarily engaged in acquiring mineral resource assets. The Corporation operates with the objective of unlocking value through strategic investments in mining projects globally. Our team conducts due diligence in order to assess the geological, technical, environmental, and financial merits and risks of each project and looks to deploy capital where it can either seek to generate investment returns or where the Corporation can collaborate with operating partners and take strategic partnerships through direct interests in mining operations.
FORWARD-LOOKING STATEMENTS:
This press release may contain forward-looking information within the meaning of applicable securities legislation, which reflects Dundee Corporation's current expectations regarding future events. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond Dundee Corporation's control, which could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. Such risks and uncertainties include, but are not limited to, the factors discussed under "Risk Factors" in the Annual Information Form of Dundee Corporation and subsequent filings made with securities commissions in Canada. Dundee Corporation does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
FOR FURTHER INFORMATION PLEASE CONTACT:
Investor and Media Relations
T: (416) 864-3584
E: ir@dundeecorporation.com
