LunR Reports Q2 2026 Results Including Inaugural Cash Flow
LunR Royalties Corp. (LUNR) reported its Q2 2026 financial results, marking a transformational quarter with the commencement of silver deliveries under its Fruta del Norte (FDN) Stream, resulting in the company's first quarterly revenue and positive cash flow. The company recorded inaugural revenue of $4.6 million from the sale of 69,959 ounces of silver and generated $2.9 million in cash flow from operating activities, significantly reducing the net loss to $0.1 million compared to previous quarters.
The release details the completion of the $670.2 million acquisition of the FDN Stream, the graduation of shares to the TSX, and provides operational updates on the company's royalty portfolio, including exploration progress at Lunahuasi and asset acquisition news regarding Los Helados.
Financial performance for the quarter showed revenue of $4,607,000, representing the inaugural revenue from silver sales. Cash flow from operating activities totaled $2,858,000, generating positive cash flow. The net loss was $147,000, down from $1,841,000 in Q1 2026 and $475,000 in Q4 2025. Total assets stood at $673,369,000, with total long-term liabilities at $0.
Regarding FDN Stream operations, LunR received its first silver delivery under the life-of-mine silver stream on the Fruta del Norte mine. The company purchased 69,959 ounces of silver, representing 100% of payable production from March 1 to May 31, 2026. Under the stream terms, LunR purchases 100% of Fruta del Norte's silver production at 10% of the silver spot price. Payable silver is expected to be 225,000 to 275,000 ounces for the second half of 2026, with Q4 2026 production expected to be delivered in Q1 2027.
The FDN Stream acquisition was completed on May 28, 2026. The upfront consideration was $670.2 million, structured through the issuance of 50,505,051 shares to Lundin Gold Inc., which were distributed to Lundin Gold shareholders via dividend-in-kind on June 11, 2026.
In corporate actions, common shares commenced trading on the TSX on June 8, 2026, following graduation from the TSXV. Scott Langley was appointed to the Board of Directors effective August 7, 2026. This follows the previous appointments of Tara Hassan and Armando Picciotto as independent directors, announced on May 22, 2026.
Updates on the asset portfolio included activity at Lunahuasi, Argentina, where LunR holds a 1.00% NSR royalty. NGEx completed its Phase 4 exploration program from October 2025 to May 2026, drilling 27,318 meters across 32 holes. Assays confirm high grades and continuity, expanding mineralization to the north, south, and at depth. At Los Helados, Chile, where LunR holds a 1.38% NSR royalty, no exploration activities were reported by NGEx in Q2 2026. However, Lundin Mining Corp. acquired the remaining 30.9% interest from JX Advanced Metals Corporation on April 7, 2026.
Adam Lundin, President, CEO & Chair, stated: "This was a transformational quarter for LunR as we completed the acquisition of the FDN Stream and began receiving silver deliveries that enabled us to generate positive cash flow less than one year since the Company's inception. Stream deliveries are expected to be fully ramped up by the fourth quarter, further strengthening our financial position throughout the year."
He added: "Additionally, I am excited to welcome Scott to the Board of Directors of LunR Royalties. We are pleased to be able to draw on his leadership experience at Newmont, one of our largest shareholders, as well as his extensive capital markets and investment banking experience in the metals and mining sector as we continue to pursue growth opportunities to compliment our existing portfolio of high-quality royalty and streaming assets."