Canada's Labrador Iron Ore Q3 revenue rises on higher prices

Labrador Iron Ore Royalty

06/11/2025 24:56

Overview

Labrador Iron Ore's Q3 revenue rises 5% yr/yr, driven by higher iron ore prices

Net income per share for Q3 falls 11% yr/yr, reflecting reduced IOC profitability

Adjusted cash flow per share declines 44% yr/yr due to no IOC dividend in Q3

Outlook

IOC expects 2025 saleable production at low end of 16.5-19.4 mln tonnes guidance range

IOC revises 2025 capital expenditure forecast to $288 mln, down from $342 mln

Result Drivers

HIGHER IRON ORE PRICES - Co benefited from increased iron ore prices in first three quarters of 2025, contributing to higher revenue

INCREASED PELLET SALES - Pellet sales volumes rose, offsetting some negative impacts from lower CFS sales

NO IOC DIVIDEND - Absence of IOC dividend significantly reduced adjusted cash flow per share

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
C$44 mln
Q3 EPS
C$0.47
Q3 Net Income
C$30.40 mln
Q3 Adjusted Cash Flow Per Share
C$0.38
Q3 Cash Flow from Operations
C$32.70 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the iron & steel peer group is "buy"

Wall Street's median 12-month price target for Labrador Iron Ore Royalty Corp is C$29.00, about 0.7% above its November 5 closing price of C$28.79

The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nCNWN2Dsca

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)