Metalla Royalty & Streaming Ltd. Annual Report: A Year in Review

I’ve put together this guide to help you understand how Metalla performed this year. Instead of digging through dense financial filings, I’ve broken down the key points so you can see what is actually happening with the company.

1. What does this company do?

Think of Metalla as a "landlord" for mining companies. Instead of doing the dangerous, expensive work of digging in the ground, they provide upfront cash to miners. In exchange, Metalla gets a "royalty"—a small slice of the metal produced or a percentage of the mine’s revenue.

This is a lower-risk way to invest in mining. Metalla avoids daily costs like fuel, labor, and equipment repairs. They hold over 90 precious metal assets, providing exposure to production across North America, South America, and Australia.

2. Financial performance: A year of growth

Metalla had a much stronger year in 2025 than in 2024.

• Revenue Jumped: The company brought in $11.7 million in royalty revenue, nearly double the $5.9 million made in 2024. The Tocantinzinho mine in Brazil was a major driver, contributing $4.5 million alone.
• Profitability: The company reported a $14.2 million loss for the year, an improvement from the $21.5 million loss in 2024. This loss is driven primarily by non-cash accounting items, such as the gradual amortization of their royalty assets, rather than operational cash burn.
• Geographic Spread: They are spreading their bets. They now see significant revenue from the U.S. and Mexico, and they have added Australia to the mix. This diversification helps protect the company from localized political or regulatory issues.

3. The "Landlord" Portfolio & Debt Cleanup

A major highlight this year was the company’s "spring cleaning" of its debt:

• Refinancing: Metalla paid off an expensive loan and replaced it with a new $40 million credit line. This carries a lower interest rate and provides the flexibility to acquire new royalties without needing to issue shares at unfavorable prices.
• Shareholder Impact: The number of shares outstanding grew from 58.6 million to 68.2 million. This 16% increase reflects the issuance of new shares to fund asset acquisitions. While this dilutes current shareholders, it is the primary mechanism the company uses to grow its asset base without draining its cash reserves.

4. Key risks: What to consider

• The "Middleman" Problem: Metalla depends entirely on the mine operators. If those companies face permit delays, labor strikes, or operational shutdowns, Metalla’s royalty checks can be reduced or eliminated.
• Commodity Prices: They do not hedge their revenue. They are fully exposed to the volatility of gold, silver, and copper prices.
• Currency Swings: Because they operate in multiple countries but report in U.S. dollars, fluctuations in foreign exchange rates can impact the reported value of their royalty payments.

5. Future outlook

Metalla is maturing. With their new credit line and doubled revenue, they are better positioned to acquire new royalties. Management expects their current cash flow to cover their operational needs for the next 12 months. Their future success depends on the continued production of their current assets and the strategic addition of new, profitable royalties. They are currently targeting "cash-flow-positive" status by scaling production at key assets like Tocantinzinho and Fosterville.

Investor Takeaway: Metalla is currently in a transition phase, moving from an aggressive acquisition model to one focused on operational cash flow. If you are considering an investment, look closely at whether the production growth at their primary mines (Tocantinzinho and Fosterville) can outpace the dilution caused by their share issuance strategy.