Sprott (SII, Financial) has successfully finalized a non-brokered private placement, raising $25.55 million through the issuance of trust units by SPUT. The funds acquired are earmarked to support the general operating costs of the Trust over the upcoming year.
SII Key Business Developments
Release Date: May 07, 2025
- Assets Under Management (AUM): Increased by $3.5 billion in Q1 to $35.1 billion, up 11% from $31.5 billion on December 31, 2024.
- Net Sales: Generated $407 million in net sales during the quarter.
- Net Income: $12 million, up 3% from $11.6 million over the same period last year.
- Adjusted EBITDA: $21.9 million, up 11% from $19.8 million over the same period last year.
- Physical Gold Trust AUM: Crossed the $12 billion mark, up from less than $9 billion at the beginning of the year.
- Physical Silver Trust AUM: Eclipsed $6 billion in size.
- Physical Gold and Silver Trust AUM: Eclipsed $6 billion in size.
- Physical Uranium Trust AUM: Approaching $5 billion.
- Net Redemptions in Managed Equities: Reported $20 million in net redemptions during the quarter.
- Private Strategies AUM: $2.2 billion, down slightly from December 31, 2024.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Sprott Inc (SII, Financial) reported an increase in assets under management (AUM) by $3.5 billion in Q1, reaching $35.1 billion, driven by a surge in gold prices and strong inflows to precious metal strategies.
- The company's flagship gold equity fund posted a gain of 26.4%, benefiting from rising precious metal prices.
- Sprott Inc (SII) launched two new ETFs, the Sprott Silver Miners and Physical Silver ETF, and the Sprott Active Gold and Silver Miners ETF, which have been well-received and are among the most successful ETF launches to date.
- Net income for the quarter was $12 million, up 3% from the same period last year, and adjusted EBITDA increased by 11% to $21.9 million.
- The Sprott Physical Gold Trust crossed the $12 billion mark in assets, reflecting strong growth and investor interest in physical gold.
Negative Points
- Despite strong performance, investors have been slow to allocate capital to the managed equity sector, resulting in $20 million in net redemptions during the quarter.
- The company's Critical Materials products experienced weaker market valuations, partially offsetting gains from precious metals.
- Silver has not attracted the same level of investor interest and capital flows as gold, despite being up 12% this year.
- The uranium and copper trusts have been held back by market sentiment and shorting pressure, affecting their performance.
- The combined Gold and Silver Trust experienced outflows, as investors seem to prefer more focused products.
