Apex Critical Metals: C$13.99 Million Loss, Cash Raised to C$14.99 Million
Apex Critical Metals has published the financial statements for its fiscal year ended July 31, 2026. The net loss reaches C$13.99 million, compared with C$4.09 million a year earlier, an increase of C$9.9 million. According to the company, this increase is mainly due to two items, most of which do not give rise to any cash outflow.
Share-based compensation rises by about C$6.6 million, and advertising and investor relations expenses by about C$1.7 million. Cash used in operating activities increases from C$1.98 million to C$4.94 million, an increase smaller than that of the accounting loss.
At the same time, the junior company, which generates no revenue, raised funds to finance the drilling of its Rift rare earth project in Nebraska.
A Loss Driven Mainly by Share-Based Compensation
The share-based compensation expense recognized in profit or loss amounts to C$9.17 million, compared with C$2.59 million in the previous fiscal year, including C$6.57 million for directors and officers. The company explains this by a higher fair value of the awards, linked to the rise in the share price between the two fiscal years.
According to Apex, this expense has no effect on working capital, liquidity or cash flows. The increase in advertising expenses reflects, according to management, greater cash availability and a communication program launched after the acquisition of the Rift project.
Other expenses follow the expansion of the listing: legal fees rise from $50,644 to $448,504 and listing fees from $71,071 to $531,773, notably with the admission to Euronext Access Paris on July 9, 2026. Interest income, meanwhile, increases to $307,877, compared with $99,336.
Fundraising First Finances the Rift Drilling
Financing cash flows reach C$29.83 million, compared with C$6.84 million a year earlier. They come from three private placements, including one of C$15 million concluded on June 2, 2026 at C$1.90 per unit, and from the exercise of warrants for C$4.38 million.
Most of these funds were redirected to exploration: C$18.12 million of expenditures were capitalized, including C$14.15 million on Rift and C$3.53 million on the Cap project in British Columbia. Exploration and evaluation assets thus rise from C$3.35 million to C$21.47 million.
Investing cash flows amount to C$15.45 million, compared with C$0.99 million. Despite these outflows, closing cash increases to C$14.99 million, compared with C$5.54 million, and working capital to C$11.94 million, compared with C$4.88 million, with no debt.
A First Resource Estimate Targeted for Early 2027 at Rift
Launched at the end of January 2026, the Rift drilling program comprises 39 holes for approximately 25,000 meters; results from 24 of them have been published and 15 are still awaited. Mineralization in the Trinity zone is traced over approximately 500 meters along strike and more than 300 meters down-dip.
The company expects to complete this program and produce a first mineral resource estimate in the first quarter of 2027, in line with the phase II recommended by the technical report, whose budget is estimated at approximately US$5.845 million.
In the fourth quarter, the net and comprehensive loss amounts to C$3.60 million, compared with C$1.85 million a year earlier. After the closing, the offering of American Depositary Shares (ADS) on Nasdaq generated gross proceeds of US$1.86 million, supplemented by US$279,000 from the option exercised by the underwriter.
A shelf prospectus also allows the issuance of up to C$100 million in securities. Apex reports a material uncertainty regarding its ability to continue as a going concern, while considering its working capital sufficient for more than one year.
The fiscal year thus combines an accounting loss widened mainly by non-cash charges and recourse to equity markets to finance a drilling program that now absorbs the majority of the capital raised.
