Wheaton Precious Metals Corp. Q2 FY2025 earnings call

• Wheaton delivered record revenue, adjusted net earnings, and operating cash flow for the second quarter and first half of 2025. - Promotions of Haytham Hodaly to President and Curt Bernardi to Executive Vice President, Strategy and General Counsel were noted. - Progress on growth strategy with Blackwater achieving commercial production and Goose delivering first gold pour. - Sustainability initiatives included being recognized in Corporate Knights' 50 Best Corporate Citizens in Canada and launching the second annual Future of Mining Challenge. - Strong performance by key assets like Salobo and Peñasquito contributed to production results.

In the second quarter of 2025, Wheaton Precious Metals achieved record revenue of $503 million. Revenue breakdown was 65% from gold, 33% from silver, and the rest from palladium and cobalt. Production in the second quarter was 159,000 gold equivalent ounces, with sales volumes of 158,000 gold equivalent ounces. Adjusted net earnings reached a record $286 million, and operating cash flow was $450 million, a 77% increase from the prior year.

• Wheaton's production guidance for 2025 remains 600,000 to 670,000 gold equivalent ounces. - Production profile is still forecasted at 47%-53% with a slight bias to the fourth quarter as operations ramp up in the second half of the year.

• GMT tax implications with payments staggered 2 years after the actual period. - Uncertainties regarding tariffs on gold imports and their potential impact, though Wheaton is insulated from direct tariffs. - Competitive deal environment with more competitive terms for transactions but still seeing numerous opportunities.

Q: How aggressive is Wheaton's stance on deals?

A: Haytham Hodaly stated they focus on accretive transactions maintaining strong security structure, with 12-15 opportunities being looked at, 2/3 development stage and 1/3 operating or M&A related.

Q: Can Wheaton benefit from arbitrage if tariffs on gold exist?

A: Vincent Lau said Wheaton is insulated from tariffs, takes deliveries in London, and could look to capitalize on price differentials if they occur.

Q: Are deal terms becoming more restrictive?

A: Haytham Hodaly said terms are more competitive, not restrictive, with still good opportunities and bidding on many transactions.

Q: What about the guidance for the year?

A: G. Wesley Carson confirmed the production profile remains 47%-53% with a slight bias to the fourth quarter as operations ramp up.

Q: How much visibility do you have on sales versus production?

A: Vincent Lau said Q2 benefited from a drawdown in PBND, expecting to go back to about 3 months' worth of PBND as new mines ramp up.

Q: Potential impact of Artemis Gold's Phase 2 acceleration?

A: G. Wesley Carson said acceleration isn't included in long-term guidance yet but is in regular communication with Artemis Gold.

Q: Silver-gold ratio impact?

A: Randy Smallwood and G. Wesley Carson discussed that silver needs to outperform for 6 months below 70:1 to change the conversion ratio, and they've benefited from the higher ratio recently.