10:46 AM EDT, 04/30/2025 (MT Newswires) -- Lithium Royalty ( LITRF ) said Wednesday that its net loss narrowed in the first quarter as royalty revenue edged down.

It reported a net loss of US$870,000, versus the previous year's net loss of US$1.045 million. Royalty revenue slipped to US$629,000 from $631,000, But the company said royalty revenue continues to outperform the broader lithium pricing cycle, with approximately flat revenue year over year despite a 17% decline in spodumene prices.

The company's production totaled 63 lithium carbonate equivalent tonnes (LCEts) or 740 spodumene concentrate equivalent tonnes (SCEts) in Q1, compared to 61 LCEts or 787 SCEts in the prior quarter.

In looking ahead, LIRC noted Ganfeng Lithium inaugurated the Mariana Lithium project in Salta, Argentina during the quarter, with first cash flow from the project anticipated in 2025. It cited multiple near-term catalysts across the portfolio: Zijin expects to start production of Tres Quebradas in Q3 2025 and Sigma estimates first production from Phase 2 expansion before year end 2025.

LIRC also noted a "strong" balance sheet with $31.9 million of cash and no debt, enhancing its ability to "pursue high-quality royalty opportunities at attractive valuations".

"LRC's diversified business model with assets continuing to enter production and ramp up to nameplate is insulating us from the severe price declines in the sector," said Ernie Ortiz, President and CEO of Lithium Royalty ( LITRF ). "As the sector recalibrates, the portfolio is continuing to mature, setting up the company for success for the eventual lithium cycle recovery."

"The low-price environment for the sector has made acquisition opportunities more available and we are actively reviewing opportunities for growth," Ortiz said.

Lithium Royalty ( LITRF ) traded 0.8% lower at last look to $5.06 on the TSX.

Price: 5.06, Change: -0.04, Percent Change: -0.78