Tungsten specialist Almonty Industries reports a massive net loss for the 2025 financial year due to non-cash valuation effects.
• Annual sales increase 13 percent to CAD 32.5 million
• Net loss widens to C$161.9 million due to derivative revaluations
• Transition to active mining at Sangdong Mine marks strategic milestone
Almonty balance sheet analysis: sales growth meets book losses
Canadian mining company Almonty Industries has reported its financial results for the fourth quarter and full year 2025. In the reporting period ending December 31, 2025, the company increased annual sales to CAD 32.5 million, an increase of 13 percent compared to the previous year. This increase was largely supported by the positive price development for tungsten concentrate (APT), the average price of which climbed by a remarkable 534 percent over the twelve months to US$2,250 per metric ton. Nevertheless, the balance sheet showed a bitter net loss of CAD 161.9 million, after only a loss of CAD 16.3 million in the previous year.
Special effects distort the net result
The massive increase in the deficit is primarily due to non-cash accounting items, according to the press release. According to the company, an amount of CAD 126.7 million resulted from the revaluation of embedded derivative liabilities and warrants. These accounting adjustments were triggered by the sharp increase in Almonty Industries’ share price over the course of 2025, which climbed from CAD 1.36 (December 31, 2024) to CAD 12.07 on the Toronto Stock Exchange. CFO Brian Fox emphasized in the release that these IFRS-related adjustments have no impact on the Group’s liquidity or operational performance. The company’s cash position was significantly strengthened at the end of the year at CAD 268.4 million, which is primarily due to two successful capital increases in July and December 2025.
Operational progress in South Korea and the USA
On an operational level, the fourth quarter marked a turning point for the flagship Sangdong project in South Korea. With the delivery of the first ore to the storage site, the company completed the transition from the development phase to active mining. CEO Lewis Black said during the results presentation that Sangdong will play a central role in securing Western tungsten supply chains once it reaches full capacity. At the same time, management pushed forward with diversification and completed the acquisition of the Gentung tungsten project in the US state of Montana. This strategic orientation is intended to reduce dependence on Chinese exports and meet increasing demand from the defense sector and high technology.
This is how Almonty shares react
The shares came under pressure on the NASDAQ after the figures were announced. In trading, the paper temporarily recorded a discount of 11.05 percent to 15.76 US dollars. This pullback follows an impressive rally that saw year-to-date performance rise to over 100 percent. Analysts remain largely optimistic despite the volatile price reaction. According to data from TipRanks, out of five monitoring experts, four maintain a “Buy” rating and one maintain a “Hold” rating, with the average price target of $17.99 remaining well above current levels. The market currently appears to be weighing the short-term balance sheet burdens against the long-term potential as a leading Western tungsten supplier.
Alexandra Hesse, Benedict Kurschat, Evelyn Schmal, editorial team finanzen.net
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