Canada's Sherritt International posts Q2 adjusted core loss amid Cuba disruptions

Sherritt International (Toronto)

12/08/2026 22:18

Overview
Canada nickel and cobalt miner's Q2 revenue rose 36% yr/yr despite operational disruptions
Adjusted EBITDA turned negative, reflecting lower metals production and sales after Cuba sanctions
Company posted C$71.1 mln net loss as it focused on preserving liquidity and strategic initiatives

Outlook
Sherritt says restart of mining and refining operations depends on U.S. government approval
Company focused on preserving liquidity and maximizing fertilizer production during operational suspension
Sherritt in exclusive negotiations for private placement with Gillon Capital to strengthen capital position

Result Drivers
CUBA SANCTIONS DISRUPTION - U.S. sanctions led to suspension of direct participation in Moa and Energas joint ventures, causing operational disruptions and lower nickel and cobalt production
LOWER METALS PRODUCTION - Nickel and cobalt production and sales volumes dropped sharply due to mine and refinery shutdowns, impacting revenue and costs
HIGHER INPUT COSTS - Increased prices for sulphur, diesel and natural gas, combined with lower production volumes, raised unit operating costs

Company press release: ID:nBw6Cvj1na

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
 
C$59.30 mln
 
Q2 Adjusted Loss Per Share
Miss
C$0.04
C$0.03 (1 Analyst)
Q2 Net Loss
 
C$71.10 mln
 
Q2 Adjusted EBITDA
Miss
-C$2 mln
C$7.60 mln (1 Analyst)
Q2 Net Income from Cont Ops
 
-C$71.10 mln
 

Analyst Coverage
The one available analyst rating on the shares is "hold"
The average consensus recommendation for the diversified mining peer group is "buy."
Wall Street's median 12-month price target for Sherritt International Corp (Pre-Merger) is C$0.30, about 17.6% above its August 11 closing price of C$0.26

Reuters Recommended Reads
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Aug 10 - Canada's K92 Mining Q2 profit jumps 116% on mine expansion, infrastructure upgrades
Aug 10 - Barrick says Newmont deal clears path for North American IPO

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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.)