Executive Summary / Key Takeaways

• Strategic Gold Focus: Vox Royalty Corp. is undergoing a significant transformation, pivoting towards a dominant gold-centric portfolio through the recent acquisition of a "Transformational Global Gold Portfolio" from Deterra Royalties Limited , expected to grow revenue per share by over 100%.
• Enhanced Financial Outlook: The newly acquired portfolio, generating over $20 million in annualized run-rate gold cash flow, significantly bolsters Vox's revenue and cash flow generation, moving the company beyond its prior cash-burn phase and into positive free cash flow territory.
• Robust Capital Structure: A successfully priced $55 million public offering and an upsized $40 million revolving credit facility (with an accordion to $75 million) provide ample liquidity to fund the gold portfolio acquisition and future growth initiatives.
• Competitive Edge through Technology: Vox leverages its proprietary "Mineral Royalties Online (MRO)" database, containing over 8,500 global royalties, to identify and execute accretive acquisitions, providing a distinct competitive advantage in deal sourcing and due diligence.
• Growth with Risks: While positioned for substantial growth, investors should monitor risks including commodity price volatility, project execution delays by operators, and a pending legal challenge related to a prior royalty acquisition.

The Enduring Power of the Royalty Model and Vox's Strategic Foundation

Vox Royalty Corp., established in 2014 and headquartered in Westminster, Colorado, operates within the compelling mining royalty and streaming sector. This business model offers an asset-light approach to gaining exposure to mineral production, characterized by reduced operational risks, minimal capital expenditure requirements, and high-margin revenue streams derived from ongoing payments tied to production. Royalty firms benefit from the exploration upside of mining projects without incurring the direct costs and complexities of mine operation.

The broader market for precious and base metals provides a robust backdrop for Vox's strategy. Gold prices have surged to unprecedented levels in 2025, reaching an astonishing $3,788.33 per ounce as of September 23, representing more than a doubling in price over the past two years. This rally is supported by sustained central bank acquisitions, persistent geopolitical tensions, and anticipated global interest rate cuts. Concurrently, copper prices are experiencing a significant surge, driven by supply disruptions, such as a production halt at Indonesia's Grasberg mine, and robust demand from global electrification trends and the burgeoning artificial intelligence infrastructure. Goldman Sachs (GS) has trimmed its global copper mine supply estimates for 2025 and 2026, anticipating declines of 250,000–260,000 tons and 270,000 tons, respectively, and projects prices could rise to $10,200–$10,500 per ton, with a long-term outlook of $10,750 per ton by 2027.

Vox's overarching strategy is to be a returns-focused mining royalty and streaming company, specifically targeting royalties on projects expected to commence production within six months to three years. This approach minimizes the gap between investment and cash flow generation, aligning with its goal of acquiring high-return assets. The company has built a diversified portfolio of 69 precious metals royalties spanning six jurisdictions, including Australia, Canada, the United States, South Africa, Brazil, and Peru.

A key differentiator for Vox is its proprietary "Mineral Royalties Online (MRO)" database. This internal technology comprises a comprehensive repository of over 8,500 royalties globally, which is not commercially available to its competitors. The MRO database provides Vox with a significant competitive advantage in identifying, evaluating, and executing accretive royalty acquisitions more efficiently than rivals who lack such a specialized, extensive internal tool. This technological edge directly enhances Vox's deal sourcing capabilities and due diligence processes, thereby strengthening its competitive moat and supporting its acquisition-led growth strategy by improving the quality and volume of potential transactions.

Competitive Landscape: A Nimble Player in a Giant's Arena

In the mining royalty sector, Vox Royalty operates alongside larger, more established players such as Franco-Nevada Corporation , Royal Gold Inc. , Wheaton Precious Metals Corp. , and Sandstorm Gold Ltd. . Vox positions itself as a diversified, mid-tier operator with a global footprint, distinguishing its strategy through a focus on acquiring royalties on projects closer to production, typically avoiding the higher-risk, early-stage funding favored by some major royalty firms.

While Vox's gross profit margin of 77.70% (TTM) reflects the inherent profitability of the royalty model, its operating profit margin of 1.87% and net profit margin of -16.91% (TTM) indicate that it is in an earlier stage of profitability compared to its larger, consistently profitable competitors. For instance, Franco-Nevada , Royal Gold (RGLD), Wheaton (WPM), and Sandstorm (SAND) all exhibit positive P/E ratios (26.55, 27.74, 19.18, and 21.60, respectively, as of September 24, 2025), signifying established profitability. Vox's negative P/E ratio of -110.22 (TTM) underscores its current unprofitability, though its EBITDA margin of 39.88% (TTM) suggests strong underlying operational cash generation before non-cash charges and financing costs.

Vox's proprietary MRO database provides a unique competitive advantage in deal sourcing, allowing it to identify and evaluate opportunities that competitors might overlook or find more challenging to assess. This technological differentiator enhances its competitive standing by improving deal flow and potentially the quality of its acquisitions. However, its smaller scale compared to industry giants like Franco-Nevada (FNV) can lead to higher operational costs and potentially limit its negotiating power in larger transactions. The sector's high capital requirements, the need for established relationships with miners, and regulatory hurdles act as significant barriers to entry, protecting Vox's existing portfolio but also favoring larger rivals with greater access to capital.

A History of Strategic Expansion and Financial Evolution

Since its inception in 2014, Vox Royalty has demonstrated a consistent trajectory of portfolio expansion and financial growth. The company's revenue has grown significantly, from $0.126 million in 2020 to $12.31 million in 2023, with total assets expanding from $15.19 million to $52.71 million over the same period. This growth reflects a disciplined approach to acquiring cash-flowing assets.

In May 2025, Vox acquired an immediately cash-flowing royalty over the Kanmantoo copper-gold mine in South Australia for $11.7 million, fully financed by an initial drawdown from its credit facility. This was followed in August 2025 by the acquisition of an iron ore royalty over the Wyloo North project in Western Australia for approximately US$1 million, covering a 1.5% Gross Revenue Royalty on the first 15 million tonnes of production. These acquisitions underscore Vox's commitment to diversifying its commodity exposure while maintaining a focus on cash-generating assets. The company also achieved significant market recognition in June 2025, being added to the Russell 2000® and Russell 3000® indexes, a milestone that enhances its visibility and liquidity.

The Transformational Gold Portfolio: A Catalyst for Growth

A pivotal moment in Vox's history occurred in September 2025 with the announcement of an agreement to acquire a "Transformational Global Gold Portfolio" from subsidiaries of Deterra Royalties Limited (DRR). This acquisition, valued at $57.5 million in upfront cash and $2.5 million in deferred milestones, significantly reshapes Vox's asset base. The portfolio comprises ten gold offtake and royalty assets across twelve mines and projects in eight jurisdictions, including Australia, Brazil, Canada, Côte d’Ivoire, Mali, Mexico, South Africa, and the United States.

This strategic move is expected to grow revenue per share by over 100%, expand the company's producing asset count to 14, and increase its exposure to large-cap operators. The portfolio generated over $16 million in gold cash flow over the trailing four quarters ending June 2025, and based on Q2-2025 figures, it is currently generating over $20 million in annualized run-rate gold cash flow. Pro-forma revenue related to gold is anticipated to exceed 80%, a factor expected to accelerate Vox's potential inclusion on the GDXJ index in 2026.

The acquired assets include several operating mines such as Fazenda, RDM, and Santa Luz in Brazil (operated by Equinox Gold ), Greenstone in Canada (Equinox Gold (EQX)), Ruby Hill, Cove, and Granite Creek in the USA (i-80 Gold Corp. (IBO)), Bonikro in Côte D’Ivoire (Allied Gold Corporation (AAUC)), and Blyvoor in South Africa (Aurous Resources). Development assets like Sugar Zone in Canada (Vault Minerals Ltd.) and Dandoko in Mali (B2Gold Corp. (BTG)) are slated for restart or exploitation in 2026, further bolstering future revenue streams. However, the Los Filos mine in Mexico, also part of the portfolio, remains indefinitely suspended as of April 1, 2025, due to an expired land-access agreement.

Financial Performance and Capital Structure

Vox Royalty's financial performance in 2024 saw revenues of $11.05 million, a decrease from $12.31 million in 2023. Gross profit also declined to $7.91 million in 2024 from $9.98 million in the prior year. The company reported a net loss of $1.65 million in 2024, compared to a net loss of $0.10 million in 2023, resulting in a diluted EPS of -$0.03.

Despite these figures, operating cash flow (NCFO) improved to $5.46 million in 2024 from $5.27 million in 2023, and notably, Vox achieved its first positive free cash flow of $1.77 million in 2024, a significant improvement from negative free cash flow in previous years.

For Q1 2025, revenue was $2.68 million, a 7% decline from Q1 2024, primarily due to the Segilola royalty reaching its cap. However, Q2 2025 saw positive cash flow and an increase in comparative quarter royalty receipts. The company maintained a strong liquidity position with $8.75 million in cash and equivalents at the end of 2024, and a current ratio of 4.19, indicating robust short-term financial health.

To fund the transformational gold portfolio acquisition, Vox executed a strategic financing plan. This included an overnight marketed public offering of common shares, priced on September 24, 2025, to raise up to $55 million at $3.70 per share. Concurrently, the company upsized its secured revolving credit facility with Bank of Montreal (BMO) to $40 million, which includes an accordion feature for an additional $35 million, bringing the total funding capacity to $75 million. This represents a substantial increase from the previous $15 million facility. Post-Q2 2025, Vox repaid $5.0 million of its credit facility, reducing the balance to $6.7 million, and intends to draw approximately $10 million concurrently with the closing of the public offering. This combination of equity and debt financing provides a solid capital structure to support its aggressive growth strategy.

Outlook, Guidance, and the Path Ahead

Vox Royalty's outlook is significantly bolstered by the recent gold portfolio acquisition and ongoing operational developments. Following the Kanmantoo royalty acquisition, the company raised its 2025 revenue guidance to $13 million-$15 million, up from the previous $12 million-$14 million range. Management anticipates a substantial increase in revenue and operating income in the second half of 2025, driven by production increases across its gold royalty assets and a positive commodity price effect on the Wonmunna iron ore royalty.

The acquired gold portfolio's operators have provided concrete guidance for 2025. Equinox Gold's Bahia Complex (Fazenda and Santa Luz) is guided for 125,000-145,000 ounces at cash costs of $1,360-$1,460/oz, and RDM for 50,000-60,000 ounces at $1,615-$1,715/oz. Greenstone is expected to produce 220,000-260,000 ounces at $1,275-$1,375/oz cash costs. Allied Gold's Bonikro is guided at 98,000–105,000 ounces with cash costs of $1,230-$1,300/oz. The Blyvoor mine, according to a February 2024 technical report, outlines a 34-year life of mine producing approximately 150,000 ounces per annum at an AISC of approximately $905/oz. Development assets like Sugar Zone and Dandoko are slated for restarts or exploitation in 2026, promising future growth. Analysts anticipate a sharply increasing business volume for Vox, with high growth rates in the coming years, driven by multiple near-term mine openings and a robust pipeline.

Risks and Challenges

Despite the compelling growth narrative, several risks warrant investor attention. Commodity price volatility remains a fundamental risk, as Vox's revenues are directly tied to the market prices of the minerals produced from its royalty-linked assets. The company is also exposed to project execution delays and operational challenges faced by its mining partners, as its revenue generation is dependent on their successful development and operation of mines.

A specific legal challenge emerged in June 2025, with Vox Royalty Australia Pty Ltd. being served a writ of summons and statement of claim in the Supreme Court of Western Australia. This alleges a breach of obligations related to the assignment of the Red Hill royalty in September 2023, based on a claimed right of first refusal. The outcome of this litigation could impact the company's assets or financial position. Furthermore, the indefinite suspension of operations at the Los Filos mine in Mexico, a royalty-linked asset, due to an expired land-access agreement, highlights the potential for unexpected operational interruptions. While the recent public offering and credit facility expansion provide significant capital, the equity raise will result in shareholder dilution.

Conclusion

Vox Royalty Corp. stands at a pivotal juncture, poised for a significant transformation into a more prominent, gold-focused royalty player. The strategic acquisition of the global gold portfolio, coupled with a robust financing strategy, fundamentally reshapes its revenue profile and accelerates its path to sustained profitability. This move, underpinned by the company's proprietary MRO database for efficient deal sourcing and a diversified portfolio across stable mining jurisdictions, strengthens its competitive position within the dynamic royalty sector.

While the company's financial metrics, particularly profitability, are still developing compared to larger, more mature rivals, the anticipated 100%+ revenue per share growth from the new gold assets and a strong pipeline of near-term producing projects signal a compelling growth trajectory. Investors should recognize Vox's strategic agility and technological edge as key drivers, even as they monitor the inherent risks of commodity price fluctuations, operational dependencies, and specific legal challenges. The successful integration of the new gold portfolio and the realization of its projected cash flows will be critical in solidifying Vox Royalty's position as a leading returns-focused mining royalty company, potentially leading to increased market recognition and a re-rating of its valuation.