Sprott: Q3 2022 Earnings Conference Call



Sprott Inc. (NYSE/TSX: SII)

Third quarter 2022 results

November 4, 2022

Opposite. Innovative. Aligned

Forward-looking statements

Certain statements contained in this presentation or the accompanying oral remarks contain forward-looking information and forward-looking statements (collectively referred to herein as “forward-looking statements”) within the meaning of applicable Canadian and United States securities laws. Use of any of the words “expect”, “anticipate”, “continue”, “estimate”, “may”, “will”, “project”, “should”, “believe”, “plan “, “intend” and similar expressions are intended to identify forward-looking statements. In particular, but without limiting the foregoing, this presentation and accompanying oral remarks contain forward-looking statements regarding: (i) the development of new products and capabilities in the field of energy transition; (ii) ability to achieve return on capital employed and co-investment rate targets; (iii) continue to deliver solid financial results despite difficult market conditions; (iv) capture market share in core strategies; (v) building new growth drivers in the field of energy transition; (vi) our belief that precious metals assets are well positioned to rebound from a Fed pause or pivot; and (vii) the declaration, payment and designation of dividends.

Although the Company believes that forward-looking statements are reasonable, they are not guarantees of future results, performance or achievements. A number of factors or assumptions have been used to develop the forward-looking statements, including, without limitation: (i) the impact of increasing competition in each business in which the company operates will not be material; (ii) quality management will be available; (iii) the effects of governmental agency regulations and tax laws will be consistent with the current environment; (iv) the impact of COVID-19; and (v) assumptions disclosed under the heading “Critical Accounting Estimates, Judgments and Changes in Accounting Policies” in the Company’s MD&A for the period ended September 30, 2022. Actual results, performance or achievements could differ materially from those expressed or implied by the forward-looking statements if the assumptions underlying the forward-looking statements prove incorrect or if one or more risks or other factors materialize, including:

  1. difficult market conditions; (ii) poor investment performance; (iii) the inability to continue to retain and attract quality staff; (iv) employee errors or misconduct resulting in regulatory penalties or reputational damage; (v) fluctuations in performance fees; (vi) an industry or other counterparty fails to meet its financial obligation; (vii) the Company’s inability to meet its demand for cash or fund its obligations as they come due; (viii) changes in the investment management industry; (ix) failure to implement effective information security policies, procedures and capabilities; (x) lack of investment opportunities; (xi) regulatory compliance risks; (xii) failure to manage risks appropriately; (xiii) failure to deal appropriately with conflicts of interest; (xiv) competitive pressures; (xv) business growth which may be difficult to sustain and may impose significant demands on existing administrative, operational and financial resources; (xvi) failure to comply with privacy laws; (xvii) failure to successfully implement succession planning; (xviii) currency risk related to the relative value of the US dollar; (xix) risk of litigation; (xx) failure to develop effective business resilience plans; (xxi) failure to obtain or maintain sufficient insurance coverage on favorable economic terms; (xxii) historical financial information is not necessarily indicative of future performance; (xxiii) the market price of the ordinary shares of the Company may fluctuate widely and rapidly; (xxiv) risks relating to the Company’s investment products; (xxv) risks associated with the Company’s proprietary investments; (xxvi) risks associated with the Company’s lending activities; (xxvii) risks associated with the Company’s brokerage activities; (xxviii) the risks described under the heading “Risk Factors” in the Company’s Annual Information Form dated February 24, 2022; and (xxxxiii) the risks described under the headings “Financial risk management” and “Management non-financial risks” in the Company’s management report for the period ended September 30, 2022. In addition, the payment of dividends is not guaranteed and the amount and timing of any dividends payable by the Company will be at the discretion from the administration board. of the Company and will be determined on the basis of the profits of the Company, the satisfaction of the solvency tests imposed by applicable company law for the declaration and payment of dividends, and other relevant factors. Forward-looking statements speak only as of the date hereof, unless otherwise stated, and the Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities laws.

Non-IFRS Key Performance Indicators and Financial Measures and Others

The Company measures the success of its business using a number of key performance indicators which are not measures in accordance with IFRS and should not be considered as an alternative to net income or any other measure of performance under IFRS. Non-IFRS financial measures do not have any standardized meaning prescribed by IFRS and therefore are unlikely to be comparable to similar measures presented by other issuers. Our non-IFRS key performance indicators and other financial measures used in this document are “net expenses”, “net commissions”, “net compensation”, “EBITDA”, adjusted EBITDA”, “Adjusted Core EBITDA”, “Operating Margin”, and “Return on Capital Employed”.

For a description of “net expenses”, “net commissions”, “net compensation”, “EBITDA”, “Adjusted EBITDA”, “Adjusted core EBITDA”, “operating margin and “return on capital employed”, see the key performance the non-IFRS indicators and measures and other financial measures section of the MD&A, which is incorporated by reference into this document and available on SEDAR at www.sedar.com.

For a reconciliation of “net fees” and “net commissions”, see slide 13; for a reconciliation of “net compensation”, see slide 14; and for a reconciliation of Operating Margin “EBITDA” “Adjusted EBITDA” Adjusted Core EBITDA”, see slide 15.


whitney george

Kevin Hibert



Sprott inc.

Sprott inc.

John Ciampaglia,


Active Sprott


Q3 2022 and Year-to-Date Highlights

  • Solid results during a tumultuous period in the markets
  • Saved 13e consecutive quarter of positive net sales
    1. Strong contributions from private strategies and physical trusts
  • Extensive ETF product suite
    1. Launch of the Sprott ESG gold ETF
    1. Sprott Uranium Mining UCITS ETF listed on several European markets
  • Develop new products and capabilities in the field of energy transition

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Sprott inc. published this content on November 04, 2022 and is solely responsible for the information contained therein. Distributed by Audienceunedited and unmodified, on November 04, 2022 13:31:05 UTC.

Public now 2022

All the news from SPROTT INC.

SPROTT INC. Analyst Recommendations

2022 sales 208M
154 million
154 million
Net income 2022

Net debt 2022

PER 2022 ratio
2022 return 2.73%
Capitalization 1,239 million
capi. / Sales 2022 5.96x
capi. / Sales 2023 5.29x
# of employees 173
Floating 82.0%

Duration :

Period :

Sprott Inc. Technical Analysis Chart |  MarketScreener

Trends in Technical Analysis SPROTT INC.

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Tendencies Bullish Bearish Neutral

Evolution of the income statement


To buy

Medium consensus SURPASS
Number of analysts 3
Last closing price $49.52
Average target price $54.33
Average Spread / Target 9.72%

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