NIOCORP DEVELOPMENTS LTD (NB)·Q1 2026 Earnings Summary

Executive Summary

• Q1 2026 was dominated by financing and non‑cash mark‑to‑market items: net loss was $42.7M ($0.53 per share) due primarily to $32.1M in non‑cash fair value losses on earnout and warrant liabilities; adjusted net loss was $8.3M ($0.07 per share), reflecting operating spend on drilling and feasibility work .
• Liquidity inflected higher: record quarter-end cash of $162.8M following three equity offerings totaling ~$155.0M plus $15.2M from warrant exercises; shares outstanding rose to 100.74M, implying notable dilution vs FY-end .
• Strategic progress: ~407 acres of land acquired encompassing resource/reserve and key construction acreage; Company highlighted potential for up to ~$10.0M DoD reimbursement upon milestone achievement tied to feasibility-level engineering and reserve drilling .
• No earnings call transcript was filed; outlook commentary centered on feasibility study update, continued pursuit of project financing (including EXIM/DoD/UK Export Finance pathways referenced in prior filings), and timing of the Q1 10‑Q by Nov 14, 2025 .
• Near-term catalysts: 10‑Q filing, feasibility study update, DoD milestone reimbursements, and further financing developments; the quarter’s narrative is liquidity improvement and project de-risking, offset by dilution and pre‑revenue status .

What Went Well and What Went Wrong

What Went Well

• Strengthened balance sheet: closed three equity offerings for ~$155.0M plus ~$15.2M from warrant exercises, ending Q1 with $162.8M cash .
• Project advancement: acquired ~407 acres covering resource/reserve and construction needs; continued drilling and feasibility study update work ($6.8M spend) .
• Visible potential for non‑dilutive reimbursement: eligibility for up to ~$10.0M in DoD reimbursements tied to feasibility‑level milestones on Elk Creek .

What Went Wrong

• GAAP loss surged on non‑cash liabilities revaluation: ~$32.1M fair value loss (earnout $14.5M; warrants $17.6M) driven by share price change from Jun 30 to Sep 30, 2025, elevating GAAP net loss to $42.7M .
• Dilution increased materially: shares outstanding moved to 100.74M from 58.49M at FY-end with multiple offerings and exercises, raising investor focus on dilution vs financing needs .
• No operating revenue and heightened pre‑revenue spend: adjusted net loss widened vs prior-year quarter ($8.3M vs $1.4M) reflecting increased project execution expenses .

Financial Results

Headline P&L vs prior periods and prior year

Liquidity and Capitalization

Non‑cash and project spend detail (current quarter)

Financing activities in Q1 2026

Segment breakdown / KPIs

• Segment revenue: Not applicable (pre‑revenue) .
• Project land control: ~407 acres encompassing resource/reserve and construction acreage .
• DoD reimbursement potential: Up to ~$10.0M upon milestones for feasibility-level engineering and reserve drilling .

Guidance Changes

Earnings Call Themes & Trends

Management Commentary

• “NioCorp… provided its preliminary unaudited financial results for the three‑month period ended September 30, 2025.” (Exhibit 99.1 press release) .
• The Company “completed the acquisition of approximately 407 acres of land… including acreage necessary to commence construction subject to obtaining project financing.” .
• The quarter’s increased GAAP net loss “primarily reflects non‑cash losses of approximately $32.1 million related to earnout shares and warrants… driven by the closing price of the Company’s common shares as of September 30, 2025, compared to… June 30, 2025.” .
• The Company “is entitled to receive up to an aggregate of approximately $10.0 million of reimbursement payments from the U.S. Department of Defense upon the achievement of certain project milestones…” .
• NioCorp “intends to file its unaudited interim condensed consolidated financial statements… on or before November 14, 2025.” .

Q&A Highlights

• No earnings call transcript was available in the filings for Q1 2026; no Q&A items to report from company documents this quarter.

Estimates Context

Values retrieved from S&P Global.*

Consensus depth: EPS estimates = 1; Revenue estimates = 1 for Q1 2026.*

Key Takeaways for Investors

• Liquidity materially improved with $162.8M cash at quarter end after equity raises; enhances ability to fund feasibility and pre‑construction activities, but comes with dilution (shares 100.74M vs 58.49M at FY-end) .
• GAAP loss volatility tied to non‑cash revaluation of earnout and warrant liabilities ($32.1M in Q1); investors should focus on adjusted loss ($8.3M) to gauge underlying project spend trajectory .
• Execution milestones progressing: ~$6.8M invested in drilling and feasibility update; ~407 acres acquired to cover resource/reserve and construction footprint—de‑risking site readiness ahead of financing .
• Potential non‑dilutive support: up to ~$10.0M in DoD reimbursements contingent on milestone achievement could partially offset feasibility/drilling costs near‑term .
• Near-term watch items: Q1 10‑Q by Nov 14, feasibility study update timing, DoD reimbursement milestone reporting, and any EXIM/UK Export Finance/DoD financing developments .
• Capital markets remain a primary funding source; further raises may be considered if strategic to bridge to project financing—monitor for continued dilution vs cash runway .
• Given pre‑revenue status, catalysts are operational (feasibility, permits, land) and financing-related rather than P&L growth; trading implications hinge on financing clarity and milestone execution .

Appendix: Non‑GAAP Reconciliation (Q1 2026 vs prior year)

Notes:

• The Company disclosed non‑GAAP definitions and cautions; measures exclude non‑cash items, non‑recurring (gain)/losses, and tax adjustments .