Sprott Q2 earnings surge as net income doubles to $34.3M, but AUM dips 15% on precious metals selloff

summarizeSummary

Sprott's Q2 2026 net income more than doubled to $34.3 million ($1.33/share) on higher average AUM, even as quarter-end AUM fell 15% to $55.6 billion due to a sharp correction in gold and silver prices.

check_boxKey Events · Earnings and Guidance · SII

• Net Income Doubles

  Driven by higher average AUM and carried interest crystallization, Q2 2026 net income reached $34.3 million ($1.33 per share), up from $13.5 million ($0.52 per share) in Q2 2025.

• AUM Drops 15% Sequentially

  AUM fell to $55.6 billion from $65.1 billion at March 31, 2026, primarily due to market value depreciation in precious metals (gold -14%, silver -22%) and $377 million in net redemptions.

• Management Fees Up 72%

  Management fees rose to $76.4 million from $44.4 million in Q2 2025, reflecting a 70% increase in average AUM to $63.9 billion, which more than offset the quarter-end decline.

• Adjusted EBITDA Nearly Doubles

  Adjusted EBITDA was $50.8 million ($1.97 per share), up from $25.5 million ($0.99 per share) in Q2 2025, with margin expanding to 71% from 61%.

auto_awesomeAnalysis · SII · Finance

Sprott's Q2 2026 results show a sharp earnings increase driven by higher average AUM and carried interest crystallization, despite a 15% sequential AUM decline from the precious metals correction. Net income more than doubled year-over-year to $34.3 million, and adjusted EBITDA nearly doubled to $50.8 million. The AUM drop was largely market-driven, with gold falling 14% and silver 22% in the quarter, but management fees still rose 72% due to the higher average AUM base. The company remains highly cash-generative, with $189.8 million in cash and no debt drawn on its $75 million credit facility. The dividend was maintained at $0.40 per share. The key risk is continued commodity price weakness, which could further pressure AUM and fee revenue.