Sprott Inc. · TSX:SII

Sprott — Q1 2023 Earnings Presentation

16 slides from Sprott's earnings presentation, May 5, 2023

  1. Slide 1: 2023 First Quarter Results

    2023 First Quarter Results May 5, 2023 NYSE/TSX:SII Contrarian. Innovative. Aligned

  2. Slide 2: Forward-looking Statements

    Forward-looking Statements Certain statements in this presentation or the accompanying oral remarks contain forward-looking information and forward-looking statements (collectively referred to herein as the "Forward-Looking Statements") within the meaning of applicable Canadian and U.S. securities l

  3. Slide 3: Speakers

    Speakers Whitney George, CEO, Sprott Inc. Kevin Hibbert, CFO, Sprott Inc. John Ciampaglia, CEO, Sprott Asset Management Sprott Inc. | 3

  4. Slide 4: Q1 2023 and YTD Highlights

    Q1 2023 and YTD Highlights • Reported record high Assets Under Management in Q1 2023 • Continuing to expand Energy Transition offerings o Adding active and exchange-listed strategies in both North America and Europe • Completed management buyout of Canadian broker dealer o Increasing focus on core a

  5. Slide 5: Historical AUM summary

    Historical AUM summary Sprott Inc. | 5

  6. Slide 6: Segment results - 3 months ended

    Segment results - 3 months ended (1) EBITDA is a non-IFRS measure. See slide 2 and 16. These amounts are net of corporate costs, consolidation, elimination, and non-reportable segment entries of ($2.4MM) in the quarter (Q1 2022: ($1.6MM)). Please see Note 11 of the financial statements. Sprott Inc.

  7. Slide 7: Strong balance sheet

    Strong balance sheet As at March 31, 2023 Cash and cash equivalents $47MM o 12% of total assets Co-investments $81MM o 21% of total assets Total debt $54MM (1) o 11% debt-to-capital ratio Net cash and co-investments $73MM o 19% of total assets (1) Total facility size: $120MM Sprott Inc. | 7

  8. Slide 8: Exchange Listed Products: Physical Trusts

    Exchange Listed Products: Physical Trusts • Improved results in Q1 with $209MM in net sales • 45 consecutive months of net inflows • PHYS and PSLV are steadily capturing market share from larger competitors, while SPUT is the world’s largest physical uranium fund • Precious metals funds best positio

  9. Slide 9: Exchange Listed Products: Energy Transition Funds

    Exchange Listed Products: Energy Transition Funds Growing our suite of funds in North America and Europe Sprott Physical Uranium Trust Sprott Energy Sprott Lithium Sprott Uranium Sprott Junior Sprott Junior Sprott Nickel Transition Miners ETF Miners ETF Uranium Copper Miners ETF Materials ETF & UCIT

  10. Slide 10: Managed Equities

    Managed Equities • Strong rebound in performance and AUM in Q1 2023 • Gold equity strategies benefiting from stronger gold and silver prices • Improved sales in flagship gold equity fund over past few months • Incubating new energy transition and commodity strategies Sprott Inc. | 10

  11. Slide 11: Private Strategies

    Private Strategies • Combined Lending and Streaming Strategies AUM of $2.5B as of March 31, 2023 • Streaming and Royalty Fund actively deploying capital • Adding new fund vintages and strategy extensions o Strong support from existing and new LPs o Increasing opportunities to deploy capital into ene

  12. Slide 12: Summary

    Summary • Continuing to successfully execute on strategy o Record high AUM o 15th consecutive quarters of net sales • Expanding client base through energy transition strategies o Gaining traction with a younger, more international audience • Adding new investment talent and research capabilities • M

  13. Slide 13: Supplemental Financial Information

    Supplemental Financial Information

  14. Slide 14: Revenues

    Revenues 3 months ended In millions $ Q1 Q1 2023 2022 Management fees 31.4 27.2 Trailer, sub-advisor and fund expenses (1.6) (0.9) Direct payouts (1.2) (1.4) Carried interest and performance fees - 2.0 Carried interest and performance fee payouts- internal - (1.0) Carried interest and performance fe

  15. Slide 15: Expenses

    Expenses 3 months ended In millions $ Q1 Q1 2023 2022 Compensation 19.1 21.8 Direct payouts (1.2) (1.4) Carried interest and performance fee payouts - internal - (1.0) Commission expense - internal (1.7) (3.1) Severance, new hire accruals and other (1.3) (0.5) (1) Net compensation 14.9 15.7 Severanc

  16. Slide 16: EBITDA reconciliation

    EBITDA reconciliation 3 months ended In millions $ Q1 Q1 2023 2022 Net Income 7.6 6.5 Adjustments: Interest expense 1.2 0.5 Provision for income taxes 2.6 2.7 Depreciation and amortization 0.7 1.0 (1) EBITDA 12.2 10.6 Other adjustments: (Gain) loss on investments (2.0) 1.5 Amortization of stock base

Sprott — Q1 2023 Earnings Presentation on 6ix