Integra Resources Delivers Record Q2 2025 Performance Amid Strategic Capital Reinvestment

• Integra Resources achieved record quarterly revenue of $61.1 million in Q2 2025, representing a 7% increase from the previous quarter's $57.0 million.
• The company delivered record mine operating earnings of $25.2 million with a 41% operating margin, significantly improving from Q1 2025's 27% margin.
• Florida Canyon Mine produced 18,087 gold ounces and sold 18,194 ounces at a record average realized price of $3,332 per gold ounce during the quarter.
• The company invested $14.2 million in sustaining capital expenditures, demonstrating commitment to long-term mine profitability and infrastructure development.
• Cash and cash equivalents increased to $63.0 million at quarter-end, providing a strong financial foundation for continued growth investments and operational flexibility.

Integra Resources Corp. (TSX: ITR; NYSE American: ITRG) is a Vancouver-based mining company focused on the operation and development of precious metals projects in North America. The company's primary asset is the Florida Canyon Gold Mine in Nevada, which serves as the foundation for its current cash generation and growth strategy. Integra also maintains a development pipeline including the DeLamar Project in Idaho and the Nevada North Project, positioning the company for future expansion in the North American precious metals sector.

Financial Performance Exceeds Expectations

Integra Resources demonstrated robust financial performance in the second quarter of 2025, building upon the momentum established in the first quarter. The company's revenue generation reflected both operational consistency and favorable market conditions for precious metals.

The quarter's standout performance was driven by exceptional gold pricing, with the company achieving record realized prices. Revenue increased to $61.1 million from $57.0 million in Q1 2025, despite selling slightly fewer ounces. The company sold 18,194 ounces at average realized prices of $3,332 per ounce, compared to 19,540 ounces at $2,888 per ounce in the previous quarter.

Operating margins expanded significantly, with mine operating earnings reaching $25.2 million and representing a 41% operating margin. This marked a substantial improvement from the $15.5 million and 27% operating margin achieved in Q1 2025. The enhanced profitability demonstrates the company's ability to capitalize on favorable gold prices while maintaining operational discipline.

Net earnings performance also reflected the improved operational results. The company reported net earnings of $10.6 million, or $0.06 per share, compared to $1.0 million, or $0.01 per share, in Q1 2025. Adjusted earnings reached $11.8 million, or $0.07 per share, exceeding the $4.4 million, or $0.03 per share achieved in the previous quarter.

Production & Operational Metrics

Florida Canyon Mine maintained consistent production levels while implementing strategic capital investments. The mine produced 18,087 gold ounces in Q2 2025, compared to 19,323 ounces in Q1 2025. The slight decrease was attributed to a one-time efficiency improvement project that contributed approximately 2,000 additional ounces in the first quarter.

Mining operations showed improved efficiency metrics despite increased waste stripping activities. The company mined 3,074,440 tonnes of ore, a 2% increase from the 3,021,457 tonnes mined in Q1 2025. Waste mining increased substantially to 2,966,291 tonnes, resulting in a strip ratio of 0.96, up from 0.60 in the previous quarter. This increase reflects the company's strategic approach to capitalized waste stripping as part of its reinvestment program.

Mining rates demonstrated operational improvements, increasing to 33,785 tonnes per day, representing a 1% improvement from Q1 2025. The company attributed this improvement to enhanced mechanical availability of haul trucks through the addition of rental units and optimized haul routes.

Process recoveries remained stable at 60.5% Au, showing slight improvement from the 60.4% Au achieved in Q1 2025. For the first half of 2025, average process recoveries of 60.4% Au aligned with company expectations and guidance parameters.

Cost Management & Capital Investment Strategy

Integra Resources demonstrated improved cost management while simultaneously increasing capital investments for long-term mine optimization. Cash costs decreased to $1,849 per gold ounce sold in Q2 2025 from $2,016 in Q1 2025, reflecting operational efficiencies and economies of scale.

However, mine-site all-in sustaining costs (AISC) increased to $2,641 per gold ounce from $2,342 per gold ounce in Q1 2025. This increase was directly attributable to $8.2 million in planned sustaining capital expenditures focused on equipment refurbishments, capitalized stripping, and heap leach pad expansions.

The company's H1 2025 cash costs of $1,936 per gold ounce slightly exceeded the guidance range of $1,800 to $1,900 per gold ounce but remain expected to fall within full-year guidance. Mine-site AISC of $2,486 per gold ounce for H1 2025 falls within the guidance range of $2,450 to $2,550 per gold ounce.

President, CEO and Director George Salamis emphasized the strategic nature of these investments, stating:

"Integra's growing cash balance ideally positions the Company to complete important mine-site capital projects at Florida Canyon including, heap leach pad expansions, capitalized stripping, growth drilling, and mining fleet additions and enhancements. The Company plans to invest over ~$55 million into Florida Canyon this year aimed at near-term improvements and positioning the mine for long-term growth and profitability."

Cash Flow Generation & Financial Position

The company's cash flow generation remained robust despite increased capital expenditures. Operating cash flow reached $16.3 million, or $0.10 per share, compared to $15.7 million, or $0.09 per share, in Q1 2025. Operating cash flow before changes in working capital totaled $16.6 million, or $0.10 per share, representing an improvement from $12.3 million, or $0.07 per share in the previous quarter.

Free cash flow generation totaled $2.1 million, or $0.01 per share, for the quarter. While modest, this positive free cash flow demonstrates the company's ability to fund capital investments while maintaining cash generation capabilities.

The company's financial position strengthened during the quarter, with cash and cash equivalents increasing to $63.0 million from $61.1 million at the end of Q1 2025, representing a 3% increase. Working capital stood at $60.1 million as of June 30, 2025, reflecting a $3.7 million decrease from March 31, 2025, primarily due to inventory adjustments and debt derivative revaluation.

Development Projects & Future Growth

Integra Resources continued advancing its development pipeline, with particular focus on the DeLamar Project in Idaho. The Mine Plan of Operation remains under review by the U.S. Bureau of Land Management and cooperating agencies, with environmental review expected to commence in H2 2025.

The company expects to release Feasibility Study results for DeLamar in H2 2025, following completion of mine planning refinements including pit sizing and sequencing optimization. This study will provide critical guidance for future development decisions and capital allocation strategies.

At Nevada North, the company progressed environmental approvals for both the Wildcat and Mountain View deposits. The Wildcat environmental analysis indicates a Finding of No Significant Impact (FONSI), while the Mountain View Final Environmental Assessment is expected shortly.

Salamis outlined the company's strategic priorities:

"The focus for the remainder of 2025 continues to be capital investment and growth at Florida Canyon, permitting advancement and a feasibility study for DeLamar, and continued de-risking activities and advanced study work at Nevada North."

Exploration & Resource Expansion

Florida Canyon's exploration program gained momentum in Q2 2025, with the company initiating a resource growth-focused drill program. Approximately 5,700 meters of drilling were completed by the end of June, with the program initially designed for 10,000 meters of reverse circulation drilling.

Following initial success, the company expanded the drilling scope by approximately 6,000 meters to a total of 16,000 meters, focusing on historical waste areas. The program targets three key areas: evaluating near-surface oxide potential from historical waste areas, expanding in-situ resources between existing open pits, and testing lateral extensions with in-pit infill drilling.

Program expenditures totaled $1.1 million in Q2 2025 and $1.2 million year-to-date. The company intends to release an updated mineral reserve and resource estimate along with an updated life-of-mine plan in H1 2026, providing investors with enhanced visibility into Florida Canyon's long-term potential.

Health, Safety & Environmental Performance

Integra Resources maintained exemplary safety and environmental performance standards throughout Q2 2025. The company experienced zero fatalities and zero lost time incidents during both the quarter and the first six months of 2025.

Two Mine Safety and Health Administration reportable injuries occurred at Florida Canyon in Q2 2025, bringing the year-to-date total to four incidents. The 2025 total recordable incident frequency rate (TRIFR) at Florida Canyon stands at 1.89, demonstrating the company's commitment to workplace safety.

Environmental performance remained strong, with zero reportable environmental spills during Q2 2025 and the first six months of 2025. The company recorded zero other environmental non-compliances in Q2 2025, maintaining its total reportable non-compliances at two for the first half of 2025.

Market Context & Industry Position

Integra Resources benefited from favorable gold market conditions during Q2 2025, with record realized prices supporting revenue growth despite slightly lower production volumes. The company's ability to capture premium pricing reflects its operational flexibility and market positioning.

The strategic focus on capital reinvestment positions Integra Resources competitively within the North American gold mining sector. The company's approach of prioritizing long-term mine optimization over short-term cash maximization demonstrates management's commitment to sustainable value creation.

Investment Outlook & Strategic Direction

Salamis emphasized the company's strategic positioning:

"We are pleased to report consistent gold production from Florida Canyon and positive financial results from the Company for the second quarter of 2025. Florida Canyon continues to deliver on our expectations, generating meaningful cash flow to fund significant re-investment into the mine, while also supporting the Company's broader growth strategy."

The planned $55 million investment in Florida Canyon during 2025 represents a significant commitment to long-term value creation. These investments in heap leach pad expansions, capitalized stripping, growth drilling, and mining fleet enhancements are designed to extend mine life and improve operational efficiency.

For Investors

Integra Resources presents a compelling investment proposition for investors seeking exposure to North American gold production with embedded growth optionality. The company's Q2 2025 results demonstrate operational consistency, financial discipline, and strategic vision. Record revenue generation and improved operating margins, combined with a strengthened balance sheet, provide a solid foundation for continued growth investments.

The company's dual focus on optimizing current operations at Florida Canyon while advancing development projects at DeLamar and Nevada North offers investors both near-term cash generation and longer-term growth potential. Management's commitment to substantial capital reinvestment, while maintaining positive cash flow generation, reflects confidence in the asset base and market outlook.

For investors evaluating Integra Resources, the key considerations include the company's proven operational track record, strong financial position with $63.0 million in cash, and a clear strategic roadmap for growth. The planned release of updated resource estimates and the DeLamar feasibility study in the coming quarters will provide additional catalysts for investment evaluation and potential value recognition.