EarthLabs Reports Results for the Third Quarter of 2025

Executive Summary

• EarthLabs reported strong unaudited results for the quarter and nine months ended September 30, 2025, turning a net loss in 2024 into net income of $20.3 M (Q3) and $25.7 M (nine months).
• Net investment gains surged to $23.1 M for the quarter (up 2,349% YoY) and $31.7 M for the nine‑month period, driving the bulk of earnings growth.
• Advertising and sponsorship revenue increased 55.8% YoY to $2.19 M in Q3 and 26.1% YoY to $5.38 M for the nine months; cash and equivalents rose to $69.7 M (up 77.7%).

Key Details

• Quarterly Highlights (Three months ended Sep 30, 2025)
• Advertising & sponsorship revenue: $2,189,792 vs. $1,405,283 in 2024 (+55.8%).
• Net investment gains: $23,138,120 vs. $944,686 in 2024 (+2,349.3%).
• Net income: $20,288,958 (basic EPS $0.15) vs. net loss of $871,536 in 2024.
• Subscriptions revenue: $313,641 (vs. $310,090 YoY).
• Sales of exploration maps: $41,640 (vs. $35,027 YoY).
• Other income: $322,536 (vs. $98,654 YoY).
• Operating, G&A expense: $(3,151,437) (vs. $(2,776,548) YoY).
• R&D expense: $(350,535) (vs. $(840,751) YoY).

• Income tax recovery: $(2,179,374) (vs. $2,022 expense in 2024).

• Nine‑Month Highlights (ended Sep 30, 2025)

• Total cash & equivalents, due from brokers, investments & equity investments: $69,736,066 vs. $39,234,437 in 2024 (+77.7%).
• Advertising & sponsorship revenue: $5,379,047 vs. $4,265,753 in 2024 (+26.1%).
• Net investment gains: $31,701,678 vs. $3,827,914 in 2024 (+728.2%).

• Net income: $25,726,512 (basic EPS $0.19) vs. net loss of $1,228,107 in 2024.

• Balance Sheet Highlights (Sep 30, 2025)

• Cash & cash equivalents: $4,789,682 (up from $4,122,474).
• Due from brokers: $2,635,213 (up from $416,907).
• Investments at fair value: $60,553,876 (up from $32,912,428).
• Total assets: $75,184,993 vs. $44,930,710 in 2024.

• Total liabilities: $11,400,208 vs. $7,105,575 in 2024.

• Operational Commentary

• Expanded media reach via strategic content partnerships and the “Great Canadian Treasure Hunt” campaign.
• Continued investment in technology, data‑driven storytelling, analytics tools, and mining sector relationships.

Notable Quotes

“Our strategy is paying off, plain and simple… The train's moving, investors paying attention can see where it's headed.” – Denis Laviolette, Executive Chairman & CEO

Materiality Assessment: Material – Positive (significant earnings turnaround, large investment gains, substantial cash increase).