Perpetua Resources (PPTA) Financials

Perpetua Resources (NASDAQ: PPTA) continues to operate with no revenue over the last several quarters, reflecting its current focus likely on exploration and development rather than production and sales. The company's financial performance and position display several key trends and areas for investor consideration:

• Free Cash Flow has been supported by controlled capital expenditures, with Q1 2025 showing zero purchase of property, plant, and equipment, suggesting capital spending discipline currently.
• The company has managed to sustain its exploration activities, as indicated by consistent exploration expenses each quarter, which are fundamental to future growth prospects for a resource company.
• Common equity has risen over the last two years, from approximately $82 million in Q1 2023 to roughly $103 million by Q1 2025, indicating retained investments and capital injections increasing shareholder value base.
• No revenue generation indicates that Perpetua Resources is likely in a pre-revenue phase. This is typical for junior resource exploration companies but implies dependence on financing for operations.
• The company's net income remains negative each quarter, with losses widening from about -$4.6 million in Q1 2023 to -$8.2 million in Q1 2025, reflective of ongoing exploration and operating costs without offsetting revenue.

• Operating expenses remain high, driven mainly by exploration costs that have increased from $5.7 million in Q1 2023 to $13.1 million in Q1 2025, more than doubling in this period. This pressurizes profitability.
• Continued net losses are resulting in significantly negative retained earnings, which worsened from approximately -$566 million in early 2023 to -$603 million by early 2025, indicating accumulated deficits.
• Cash flow from operating activities is heavily negative, with Q1 2025 at about -$25.6 million, showing that operations are consuming cash at a substantial rate.
• Although financing cash flow showed a boost in Q4 2024 from issuance of common equity ($35 million), there was no such activity in Q1 2025, which might create liquidity risks if operating cash burn continues without new capital.
• Total liabilities have remained relatively stable but rising cash burn and exploration expenses suggest potential need for ongoing financing and dilution risk to shareholders if losses continue.

Summary: Perpetua Resources is in an early-stage development phase focused on exploration, without any revenue yet. The company is incurring increasing operating losses and cash outflows, primarily due to rising exploration expenses. The equity base has grown indicating prior financing rounds, but recent quarters reflect significant negative cash flow and net loss trends. Investors should monitor the company's ability to raise additional capital to fund exploration activities and watch for any transition to revenue generation or reduction in cash burn to improve financial sustainability.