Andrada Mining’s interim financials for the six months ended 31 August 2025 tell a clear financial story: higher revenue, firmer commodity prices, lower costs, and disciplined spending have narrowed losses, even as the company continues to invest in growth at Uis.
Revenue climbed to £12.2 million, up from £10.8 million a year earlier, driven by higher tin sales and a stronger average tin price of £ 33,154 per tonne.
This price uplift, combined with greater concentrate volumes, provided the backbone of the company’s twelve per cent top-line growth.
Operating losses tightened sharply, falling from £1.5 million in the first half of 2024/25 to £0.9 million in the current period.
Administrative expenses also dropped significantly—from £5.0 million to £3.7 million—a reduction of twenty-six per cent following staff restructuring and cuts to corporate overheads.
The company says these savings reflect a deliberate move to streamline operations after several years of expansionary spending.
Gross profit, however, slipped to £1.9 million from £2.6 million, reflecting a twenty-five per cent rise in cost of sales tied to inflationary increases in mining and plant expenses.
The company emphasised that these costs are typical of an asset in a growth and optimisation phase and expects margins to strengthen as the Jig Plant, ore sorter and lithium expansion advance.
Costs per tonne of contained tin moved in the right direction. C1 cash costs fell from US$18,640 to US$17,468, C2 dropped to US$19,594, and all-in sustaining costs eased to US$24,808.
Management attributes the overall cost reductions to higher production volumes and stabilising plant performance.
The Orion royalty charge rose to US$3,054 per tonne sold from US$1,611 due to the royalty’s scaling mechanism, although the company expects the rate to soften as output increases.
The bottom line also showed improvement. Net loss shrank from £3.2 million to £3.0 million, despite a £0.2 million tax charge introduced under revised Namibian legislation.
Without that one-off impact, the underlying net loss improved to £2.8 million, a 13% reduction.
On the balance sheet, total assets rose by 3% year-on-year to £69.0 million, mainly reflecting continued investment in property, plant and equipment. Receivables more than doubled to £7.9 million, driven by tin prepayments.
Cash and cash equivalents stood at £1.6 million—down from £6.1 million a year ago and from £2.7 million at the end of February—highlighting the capital-intensive nature of Andrada’s growth phase.
Equity decreased year-on-year from £29.5 million to £25.5 million, reflecting accumulated losses.
However, during the reporting period, equity rose by 8% from February, driven by a £5.5 million increase in share capital from the June 2025 equity raise and shares issued instead of interest on convertible loan notes.
The injection of £4.5 million from Talent10 Resources marked a key funding milestone and deepened institutional support for the company.
Total liabilities increased to £43.2 million, up 15% over the past 12 months, driven by a £5.4 million rise in borrowings and payables.
However, liabilities fell by 6% from the February 2025 position, including a £1 million reduction in borrowings and a £0.9 million drop in financial liabilities, as the company tightened its working-capital management.
Cash flow movements underscore the financial pressures of expansion.
Andrada opened the period with £1.8 million in cash and closed with £0.7 million, despite securing £2.8 million in new funding. Net cash outflows of £1.7 million were dominated by £1 million in interest and lease payments and £0.7 million in bank debt repayments.
Investment remained vigorous: the company spent £3.2 million on investing activities, of which roughly £3 million was allocated to property, plant and equipment at Uis.
Andrada continues protecting its revenue base through tin-price hedging.
The completed Standard Bank hedge locked in US$33 000 per tonne on twenty tonnes per month up to May 2025, while the current Bank Windhoek contract secures US$34 400 per tonne until May 2026.
A derivative liability has been recognised to capture the fair-value difference between the locked-in price and the prevailing LME market price.
The financial picture shows a miner still posting losses but moving steadily toward operational leverage: higher revenue, lower unit costs, tightened overheads, and stronger institutional backing are converging to position Andrada firmly for the next capital push at Uis and Lithium Ridge.
