Sandstorm Gold Royalties (TSX: SSL) saw its Q2 2025 revenue climb 24% to $51.4 million versus $41.4 million a year earlier, even as attributable gold equivalent ounces slid 13% to 15,098 from 17,414.
Net income also rose 61% to $16.9 million from Q2 2024’s $10.5 million, reflecting both the price tailwind and “record cash operating margins of $2,981 per GEO” the company said—up 46% from last year’s $2,043 per GEO.
Operating cash flow before working capital swings increased to $37.7 million, up 16% from $32.6 million. The incremental $5.1 million barely outpaced the $6 million build in income, implying cash conversion dipped to 73% from 79% last year.
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The company trimmed its revolving credit facility to US$315 million outstanding at quarter-end. The pending all-stock $3.5 billion takeover by Royal Gold will ultimately reset capital structure risk—but also dilutes Sandstorm holders to 23% of the combined entity.
Precious metals supplied 82% of GEO volume, yet copper exposure fell to 11%. Management still guides to 65,000–80,000 GEOs in 2025, implying an aggressive second-half ramp from the Chapada and Greenstone mines after a copper-heavy Q2 slump. The long-range 2030 target of 150,000 GEOs hinges on exercising the MARA gold stream option—an execution risk the market has long discounted.
Sandstorm Gold last traded at $13.99 on the TSX.
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