Sprott Inc.

Good morning, ladies and gentlemen, and thank you for standing by. Welcome to SPROT, Inc.' 's 2025 Second Quarter Results Conference Call. At this time, all participants are in a listen-only mode. Following the presentation, we will conduct a question and answer session. Instructions will be provided at that time for you to queue up for questions. As a reminder, this conference is being recorded today, August 6, 2025. I would now like to hand the conference over to your first speaker today, Mr. Whitney George. Please go ahead.

Good morning, everyone, and thanks for joining us today. I'm starting on slide three. On the call with me today is our CFO, Kevin Hibbert, and John Chapaglia, CEO of Sprott Asset Management. As you can see from slide three, all the turmoil has not aged us a bit. Our 2025 second quarter results were released this morning and are available on our website where you can also find the financial statements and MD&A. Slide four. 2025 continues to be an eventful year. Since the April 2nd Liberation Day tariff announcements, we have witnessed extreme volatility in all markets. A 20% correction in the S&P 500 index followed by a full recovery to new highs in one quarter is extreme. but not unexpected. As I noted in this quarter's letter to shareholders, we expect more of the same going forward. In the short term, we don't know what comes next, and we will avoid making any predictions. Turning now to a report that our assets under management increased by $5 billion in the second quarter to $40 billion. Net sales continue to accelerate during the quarter due to the rising interest in multiple metals. In addition to strong ATLs in our Metals Physical Trust, we also completed two capital raises in the Sprott Physical Uranium Trust, which John will speak to more about in a few minutes. These strategies continue to perform well, delivering strong results in the quarter and over the first half of 2025, and we also benefited from carried interest in performance fees crystallization in our managed equities segment. William Newburry- Earlier this year we launched two new precious metals ETFs and we are very pleased with the early results from these strategies. William Newburry- The Sprott active gold and silver miners ETF our first actively managed ETF and the Sprott silver miners and physical silver ETF. William Newburry- have been two of our most successful ETF launches to date hitting key a UN thresholds more quickly than any of our previous with that i'll pass it over to Kevin for a look at our financial Kevin.

Thanks, Whitney, and good morning, everyone. I'll start on slide 5, which provides a summary of our historical AUM. AUM finished the quarter, as Whitney noted, at $40 billion, up 14% from $35.1 billion as at March 31, 2025, and up 27% from $31.5 billion as at December 31, 2024. On a three- and six-month-ended basis, we benefited from positive market value appreciation across the majority of our fund products and positive net inflows to our physical trusts. Slide six provides a brief look at our three- and six-month earnings. Net income this quarter was $13.5 million, up 1% from $13.4 million over the same three-month period last year, On a year-to-date basis, net income was $25.5 million, up 2% from $24.9 million this time last year. Our flat net income performance was caused by a change in accounting requirements brought on by our new cash-settled stock plan that took effect this year, largely offsetting much of the net income we otherwise generated on market appreciation and flows into our physical trusts. and carried interest and performance fee crystallizations in our managed equity segment. By way of background, cash settled stock plans like the one we implemented this year require the use of mark-to-market and graded vest accounting under IFRS 2, which creates the dual impact of accelerating the amount of vesting that occurs each period and adding market volatility to each vested amount. In our case, at a time when our stock has appreciated 54% in the quarter and 64% on a year-to-date basis. In contrast, last year we had an equity settled stock program that required each vest to be valued at the original grant date fair value on a constant basis over the entire amortization period. Adjusted EBITDA, on the other hand, which excludes quarterly volatility from items such as stock-based compensation, FX volatility and intermittent carried interest and performance fee crystallizations was $25.5 million for the quarter, up 14% from $22.4 million over the same three-month period last year, and was $47.4 million on a year-to-date basis, up 12% from $42.1 million this time last year. Adjusted EBITDA on the quarter and on a year-to-date basis benefited from higher average AUM on market value appreciation and inflows to our precious metals physical trusts. However, offsetting these positives was our finance income being down due to last year's higher syndication fees and our net commissions also being down due to last year's copper trust IPO and higher ATM activity in our physical uranium trust. Finally, slide seven provides a few treasury and balance sheet management highlights, and as you can see there, our cash and liquidity profile remains quite strong. For more information on our revenues, expenses, net income, adjusted EBITDA, and balance sheet metrics, you can refer to the supplemental information section of this presentation, as well as our quarterly MD&A and financial statements filed earlier this morning. With that said, I'll pass things over to John.