Titan Mining Corp Annual Report - How They Did This Year

Hey there! Thinking about investing in Titan Mining Corp? Or just curious how they're doing? You've come to the right place. We'll break down their latest annual report. You'll easily understand the company's situation. See how they performed this past year. Learn what it means for your investment. Think of this as a chat with a friend. We'll help you make sense of the numbers.

This guide uses Titan Mining Corp's Annual Information Form. It also uses their financial statements. These cover the year ending December 31, 2025. The report came out in March 2026. It includes exciting updates from early 2026. This gives us a very fresh look at the company!

Here's what we'll cover:

1. What does this company do and how did they perform this year? Titan Mining Corp is a Canadian mining company. It focuses on finding, developing, and producing minerals. Their main asset is New York's Empire State Mine (ESM). It holds high-grade zinc mines. It also has the exciting Kilbourne Graphite Project. ESM is a major underground zinc mine. It produces zinc concentrate. This key industrial metal galvanizes steel. It also makes die-casting alloys and chemicals.

   They have produced zinc commercially since late 2020. This year brought a big development. Titan became the USA's first end-to-end natural flake graphite producer in 70 years. Production started at their Kilbourne facility in January 2026! They don't just dig up raw graphite ore. They also process it into usable concentrate. This is crucial for domestic supply chains. It helps electric vehicle batteries and other advanced tech.

   In October 2025, they made an interesting discovery. They found significant germanium in their zinc process. They now explore this as a potential new byproduct. Germanium is a rare metal. Fiber optics, infrared tech, and solar cells demand it.

   For 2026, Titan aims to produce 73 to 78 million recoverable pounds of zinc. That's 62 to 66 million payable pounds. This sets a clear target for their main metal. It shows their operational capacity and market expectations.

   Their shares trade on NYSE American LLC ('TII'). They also trade on the Toronto Stock Exchange ('TI'). As of December 31, 2025, 91,616,438 common shares exist.

2. Financial performance - sales, profit, growth metrics Titan Mining Corp had mixed results this year. Let's break them down:

   • Sales: Good news: Titan's sales grew! They made $74.2 million in sales for 2025. This is a healthy 15.5% increase from $64.3 million in 2024. This shows their zinc mining business sells more. Increased production or better zinc prices likely caused this.
   • Income from Mine Operations (Gross Profit): Even better, money from core mining operations jumped. This is after covering direct costs to dig and process minerals. This "mine operating income" hit $17.7 million in 2025. That's a 38% increase from $12.8 million in 2024. This suggests more efficient zinc mining. They benefit from economies of scale. Or they get better prices for their zinc.
   • Overall Profit (Net Profit/Loss): Here's the tricky part. Despite strong sales and mine operating income, the company lost money. They reported a $76,000 net loss for 2025. This is a big swing from their $6.5 million profit in 2024.
     • What caused the swing? A big reason was a $5.7 million non-cash "loss." This related to "special warrants." Think of these as IOUs. They can convert into shares later. Companies often issue them in financing deals. The value of these IOUs changed. It increased, becoming a bigger potential obligation. This happened due to factors like a rising share price. Accounting rules require recording a "loss" on their income statement. They didn't spend this money. It's a change in the estimated future cost. This impacts reported profit. But it doesn't affect cash flow.
     • Increased Costs: Running the business also cost more. General and administrative costs rose 30.5% to $4.9 million. These include office and management salaries. Exploration costs increased 28% to $2.4 million. They actively sought new resources and expanded land. They also had $2 million in new graphite project costs in 2025. These weren't present in 2024. This shows their big investment in Kilbourne graphite.
   • Earnings Per Share (EPS): Due to the net loss, basic earnings per share changed. It went from a positive $0.07 in 2024. It became a loss of $0.00 (effectively zero) in 2025. This means the company lost almost no money per share. This contrasts sharply with last year's positive earnings per share.

   In 2023, they made a smart move. They locked in a fixed zinc price. This covered about 30% of their expected production. The price was $1.55 per pound. This strategy protects them from big zinc price swings. It provides more predictable sales for some of their output.

   They actively secured funds for operations and growth. We'll cover this more in "Financial Health."

3. Major wins and challenges this year

   Big Wins:

   • Graphite Production Kicks Off: This is huge! They found the Kilbourne Graphite Project in October 2023. They announced a first resource estimate in December 2024. Production started in January 2026. Their demonstration facility now makes natural flake graphite concentrate! This makes them a US graphite pioneer. It's a critical step. They are building a domestic supply chain for this strategic mineral.
   • New Mineral Discovery: They found germanium in their zinc streams in October 2025. This opens a potential new sales stream. They could extract a valuable byproduct. This boosts overall profit. It requires no significant extra mining effort.
   • Expanded Land Holdings: In May 2025, they added 43,943 acres in New York. This greatly expanded their mineral land. Their total now exceeds 120,000 acres. This big land increase gives them more room. It allows future exploration. It also means potential resource expansion. This is key for both zinc and graphite.
   • Debt Repayment: They fully repaid their Credit Facility by December 31, 2025. This shows great financial discipline. It also reduces their interest costs. This facility was a big part of their traditional bank debt.
   • Strong Funding Support: They secured major financing. This included up to US$21.3 million from EXIM. This EXIM funding supports zinc operations and Kilbourne Graphite. It came under the "Make More in America" initiative. This government backing highlights their projects' strategic importance. EXIM also sent a Letter of Interest. It was for up to $120 million. This is for Kilbourne Project construction. It shows strong potential for future large financing.
   • NYSE-A Listing: In November 2025, their shares began trading on NYSE American LLC. This can boost their visibility. It also gives them access to US investors. This may improve trading ease and share value.
   • Leadership Boost: They made key executive appointments. Rita Adiani became CEO in September 2025. She also joined the Board. This strengthens their leadership team with experienced pros. Kevin Hart became Chief Financial Officer in April 2025. Jenny Hood joined as VP Commercial and Sales. Irina Kuznetsova became Director of Investor Relations. These hires suggest a new focus. They aim for better financial management. They also seek commercial growth. And improved investor communication.
   • Increased Cash Balance: Their cash grew significantly. It reached $17.5 million by late 2025. This is up from $10.2 million in 2024. This gives them more operational flexibility. It also provides a stronger buffer for future investments.
   • Strong Core Mining Performance: Their "income from mine operations" (gross profit) rose 38%. It hit $17.7 million. This shows their main zinc business performs well. It generates healthy profits from production.
   • Investment in Growth: They invested heavily in their future. Mineral properties, plant, and equipment grew. They increased nearly 29% to $39 million. This spending shows their commitment. They want to expand and modernize assets. This is especially true for the Kilbourne Graphite Project.

   Challenges & Hurdles:

   • Swing to Net Loss: The company performed well. Still, they reported a small $76,000 net loss in 2025. This compares to a $6.5 million profit in 2024. A non-cash accounting adjustment caused this. It related to special warrants. This can confuse investors.
   • Temporary Project Suspension: In August 2023, they paused Turnpike project construction. They did this to "preserve cash." Turnpike was a zinc mining expansion. The halt showed financial strain. It also showed a need to prioritize spending.
   • Reliance on Executive Chairman: Earlier, they relied on loans. These totaled US$15 million. A company owned by their Executive Chairman provided them. These loans helped repay their Credit Facility. These loans provided crucial cash. But it shows dependence on related-party funding. This can raise questions. It concerns corporate governance and independence.
   • Increased Operating Expenses: General and administrative costs rose. Exploration and new graphite project costs also increased. These added to the overall net loss. Some are growth-related. But they still pressured profits.

4. Financial health - cash, debt, financial flexibility Titan Mining Corp actively managed its money. Its financial health changed significantly this year.

   • Cash Position: Their cash significantly improved. It jumped to $17.5 million by late 2025. This is up from $10.2 million in 2024. This strong cash balance provides good financial flexibility. It lets them fund ongoing operations. It also supports strategic plans.
   • Debt Management: Big news: they fully repaid their main Credit Facility by December 31, 2025. This facility was a secured credit line. It was a main source of bank debt. Repaying it greatly reduces financial risk. It also lowers interest costs. However, they still have other debt. Their current debt (excluding related party loans) fell 37% to $6.3 million. But they took on $2.8 million in new long-term debt. This debt is due in over a year. It shows new long-term financing.
   • Related Party Loans: They still have large loans. These come from a company owned by their Executive Chairman. They total $17.1 million at year-end 2025. This is down from $22 million in 2024. These loans often lack collateral. They have specific repayment terms. They offer crucial support. But they are a big part of their total debt. Investors should watch their terms, like interest rates.
   • Special Warrants: A new, big item on their balance sheet is a $20.7 million obligation. This relates to "special warrants." As noted, these are IOUs that can become shares. This obligation came from a $15 million private placement in December 2025. These warrants were part of that financing. Its fair value increased. It went from $15 million to $20.7 million. This caused the $5.7 million non-cash "loss" on their income statement. This means the future obligation from these warrants grew. If exercised, they could cause significant share dilution. This means more shares issued, reducing your ownership percentage.
   • Overall Obligations: New special warrant obligations and other increases drove up total current obligations. They rose over 40% to $51.5 million. Their total obligations (short-term and long-term) also grew. They rose 36.5% to $71.2 million. This big increase in obligations happened despite repaying a credit facility. It mainly comes from how special warrants are accounted for. Related party loans also contribute.
   • Shareholders' Value: Despite the net loss, total shareholders' value grew slightly. It reached $3.8 million from $3.0 million in 2024. This is the company's net worth. This is positive. It shows the company's assets still exceed its obligations. The margin is small. This reflects new financing and asset growth.

   Overall, they faced cash challenges in 2023. But they secured major funding since then. They also cleared their main bank debt. However, the new special warrant obligation greatly impacts their balance sheet. They still rely on related party loans. They also invested heavily in their assets. These grew 36% to $75 million. This shows their commitment to growth and project development.

5. Key risks that could hurt the stock price Like any mining company, Titan faces risks. The report highlights several general ones:

   • Economic Swings: Business and economic conditions can change. Recessions or industrial slowdowns can occur. These impact demand and prices for minerals. Zinc is used in construction. Graphite is critical for batteries. A downturn could cut sales volumes and prices.
   • Metal Prices: Zinc, graphite, and other mineral prices are volatile. They can swing wildly. Global supply and demand drive this. It directly affects their sales and profit. A long drop in zinc prices could severely hurt their main income.
   • Operating Challenges: Mining is tough! They could face technical issues underground. Equipment might fail. Unexpected geology could appear. Exploration or Kilbourne project development might delay. These issues can raise costs or cut production.
   • Costs: Unexpected increases can eat into profits. These include labor, energy, and infrastructure costs. Operating costs for equipment and processing also apply. Mining is very capital-intensive.
   • Government & Regulations: Laws can change. Mining rules can shift. Getting or keeping permits can be hard. This affects operations. It can raise costs or halt projects.
   • Financing: They secured much funding. But future financing is always a risk. Large projects like Kilbourne Graphite need it. It might not be available on good terms. Or not at all. This is true if market conditions worsen. Or if project goals aren't met.
   • Environmental Concerns: Mining impacts the environment. Unexpected cleanup costs could arise. Environmental obligations or community opposition could happen. This leads to big costs or reputation damage.
   • Geopolitical and Trade Issues: Global conflicts can occur. Supply chains might disrupt. Tariffs and trade barriers can arise. These affect their ability to sell minerals. They also impact getting supplies. This hurts global market access.
   • Speculative Nature: Mining exploration and development are risky. There's no guarantee. Exploration might not find viable discoveries. Development projects might not finish on time. They might also exceed budget.
   • Special Warrants: The new $20.7 million obligation from special warrants adds a financial risk. Their value can fluctuate greatly. This could lead to more non-cash "losses." It could also mean increased future obligations for the company. Crucially, converting or exercising these warrants could cause substantial share dilution. This means more shares issued, reducing your ownership percentage. It also lowers earnings per share for current shareholders.

6. Competitive positioning Titan has a unique edge. This comes from its Kilbourne Graphite Project. Being the USA’s first end-to-end natural flake graphite producer in 70 years sets them apart. "End-to-end" means they control the whole process. This goes from mining raw ore to making refined graphite concentrate. This is vital for quality control. It also ensures supply chain security. This makes them a key domestic supplier. They operate in the critical minerals space. This is especially true for the growing EV battery market. It also applies to other high-tech uses. The US imports most graphite now. Titan's domestic production is highly strategic. In zinc, they compete with larger global producers. But their high-grade Empire State Mine offers competitive costs.

7. Leadership or strategy changes Yes, some notable changes occurred!

   • New CEO: Rita Adiani became CEO in September 2025. She also joined the Board. Don Taylor, the former CEO, became Vice Chair. This ensures continuity and technical oversight. It also brings fresh leadership.
   • Strengthened Team: Kevin Hart became Chief Financial Officer in April 2025. Jenny Hood joined as VP Commercial and Sales. Irina Kuznetsova became Director of Investor Relations. These hires suggest a new focus. They aim for better financial management. They also seek commercial growth. And improved investor communication.
   • US Growth Strategy: The company listed on NYSE-A in November 2025. This is part of its US market growth plan. It aims to increase investors. It also seeks access to more capital.
   • Share Consolidation: In November 2025, they consolidated shares. One new share replaced 1.5 old ones. This aligns with US market standards. It also makes their stock more attractive. This helps institutional investors by raising the per-share price. Investors owned fewer shares. But each share represented a larger company percentage.

8. Future outlook Titan has clear priorities for 2026:

   • Zinc Operations (ESM): They focus on better underground development. They also aim for higher-quality zinc ore. This keeps production stable and controls costs. This includes optimizing mining methods. They explore new targets at Empire State Mine. This extends its life and profit. They will also seek more efficient operations.
   • Germanium Exploration: They will keep testing. They want to see if recovering germanium is viable. This would be a byproduct from their zinc operations. This involves metallurgical studies. It also includes process design. They want to find the best way to extract this valuable metal.
   • Kilbourne Graphite Project: This is a major focus! They aim to advance the project. This means feasibility studies. It includes detailed drilling to define the resource. They will also do comprehensive mine design. Updated resource estimates are next. Extensive testing will optimize processing. They will secure all needed permits. Their goal is a construction decision in late 2026 or early 2027. This marks a big step toward full commercial production.
   • Graphite Production & Partnerships: The Kilbourne facility will keep producing graphite concentrate. This is for customer and government qualification. This is critical for securing sales agreements. It also proves their product's quality. They also design downstream processing. They build strategic partnerships. This supports their US graphite strategy. They aim to supply the growing battery market.
   • Financial Flexibility: They plan to stay financially strong. They will use cash from ESM and existing financing. They will also access capital markets. They actively seek more funding. This is for Kilbourne and other growth projects.

9. Market trends or regulatory changes affecting them A big positive trend for Titan is the US government's focus. They emphasize critical minerals and "Make More in America" initiatives. Zinc and graphite are critical minerals. They are vital for national security. They also support economic growth and clean energy. EXIM gave them substantial funding. This highlights strong government support. It backs domestic projects like theirs. This support can reduce project risks. It speeds up development. It also gives a competitive edge. It ensures a stable domestic supply chain. This reduces reliance on foreign sources. This regulatory environment greatly favors Titan's strategy. This is especially true for the Kilbourne Graphite Project.

So, what does this all mean for you? Titan Mining Corp shows strong operational growth in zinc and a groundbreaking entry into US graphite production. This is balanced by a net loss this year, largely due to non-cash accounting for special warrants, and a reliance on related-party loans. Their strategic focus on critical minerals, backed by government support, presents a significant growth opportunity, especially with the Kilbourne Graphite Project. However, the potential for share dilution from special warrants and the inherent risks of mining remain important considerations. Weigh these factors carefully as you consider Titan's future.