Ann: Quarterly Activities Report, page-9

Still bulish over the longer term at MLX and I am still holding just my view below on the sell off and why we may see a retrace. DYOR not investment advice. Just my thoughts.

The result was solid overall. It reflects improving grades and continued strong mill performance, though some operational challenges—such as workforce availability and equipment constraints—tempered output.The more pressing issue is the absence of near-term catalysts.

While the quarter delivered better numbers, they remain broadly in line with recent performance rather than signaling a step-change. The key strategic initiative—the Greentech transaction—was meant to be the real growth lever, but with only 3.11% uptake, it leaves Metals X still searching for a meaningful pathway to growth beyond Renison.

For now, MLX remains a robust cash generator, delivering reliable margins and good financial metrics. But the central question persists: how does the company transition from being a cash cow to a growth story?

Ore mined was lower than the previous quarter (162,476t vs 190,946t), yet tin-in-concentrate production increased by 12% (2,724t vs 2,432t) – a function of higher grade (1.65% vs 1.41%) and improved mill throughput.Cash production costs fell meaningfully to A$18,769/t (vs A$20,597/t), improving margin efficiency.Imputed EBITDA rose to A$67.05M (+19% QoQ) and net cash inflow lifted to A$44.2M (vs A$35.5M).

However, from a financial and strategic standpoint, there’s nothing game-changing here:AISC remains elevated at A$30,733/t, and while cash margins improved, they aren’t dramatically higher than rolling averages.

The market may be selling off due to the lack of further near-term catalysts. Both previously flagged drivers – the Elementos investment and the Greentech partial offer – are now priced in.In particular, the Greentech offer, which was positioned as the potential value unlocker.

Overall, this was a technically sound. Stronger performance is being overshadowed by the MLX future growth.

	Metric	Jun Q (Q2 CY25)	Mar Q (Q1 CY25)	Change	Commentary
1	Tin-in-concentrate (100%)	2,724 t	2,432 t	+12.0%	Best production in over a year
2	Grade mined	1.65%	1.41%	+17.0%	Higher ore quality
3	Ore milled	183,886 t	161,089 t	+14.2%	Mill throughput improved despite mining constraints
4	Mill recovery	80.53%	80.08%	+0.6%	Second-best ever; process performance excellent

	Cost Metric	Jun Q	Mar Q	% Change	Commentary
1	C1 Cash Costs	A$18,769/t	A$20,597/t	-8.9%	Driven by higher volume spread over fixed costs
2	AISC	A$30,733/t	A$33,482/t	-8.2%	A strong margin buffer
3	Imputed EBITDA	A$67.05M	A$56.23M	+19.2%	Very strong profitability
4	Net cash inflow (imputed)	A$44.2M	A$35.5M	+24.5%	Highest since early 2023