Goldgroup Mining (TSXV:GGA) Deepening US$48.9m TTM Loss Reinforces Bearish Narratives

Goldgroup Mining (TSXV:GGA) has released its FY 2025 numbers with Q3 revenue of US$3.7 million, basic EPS of a US$0.02 loss, and a net income loss of US$4.8 million, setting the tone for another loss-making period. Over recent quarters the company has seen revenue move between US$3.7 million and US$7.1 million, while basic EPS has ranged from a small profit of US$0.01 per share to a loss of roughly US$0.17 per share, giving a clear view of how volatile profitability has been. With the trailing 12 month figures still in loss territory and margins under pressure, this latest result keeps the focus firmly on how efficiently each ounce of gold produced can be turned into sustainable earnings.

See our full analysis for Goldgroup Mining.

With the headline numbers on the table, the next step is to compare these results with the prevailing narratives around Goldgroup Mining and identify where the data may challenge the stories investors rely on.

Curious how numbers become stories that shape markets? Explore Community Narratives

Trailing 12 month losses deepen

• Over the trailing 12 months to Q3 FY 2025, Goldgroup Mining generated US$17.4 million in revenue but booked a net loss of US$48.9 million, which translates into basic EPS of a US$0.27 loss.
• Critics highlight that the business is still firmly loss making, and the figures support that view with trailing 12 month losses expanding from US$2.5 million at FY 2024 Q4 to US$48.9 million by FY 2025 Q3, while revenue over the same trailing periods moved from US$20.4 million to US$17.4 million.
  • This pattern lines up with the risk data that show losses have grown at an annual rate of 72.2% over the past five years. That points to a longer running profitability problem rather than a one off setback.
  • With basic EPS on a trailing basis slipping from a US$0.03 loss at FY 2024 Q4 to a US$0.27 loss at FY 2025 Q3, the numbers fit a bearish narrative that focuses on earnings pressure and the absence of current profitability.

Production and revenue moving together

• Gold production data show Q2 FY 2024 output of about 0.085 troy ounces with revenue of US$7.1 million versus Q3 FY 2025 production of about 0.052 troy ounces with revenue of US$3.7 million, so the top line has been shifting alongside changes in produced ounces.
• What stands out for a bearish view is that even when production and revenue were higher, profitability was still fragile. This is seen in Q2 FY 2024 when US$7.1 million of revenue and roughly 0.085 troy ounces of gold production only produced net income of US$0.7 million, compared with Q2 FY 2025 where US$5.4 million of revenue on about 0.045 troy ounces of production was paired with a net loss of US$35.1 million.
  • This contrast shows that recent quarters are not just about volume swings, since similar or higher revenue levels have been linked to very different earnings outcomes, which bearish investors may point to as evidence of cost or one off pressures.
  • For you as a shareholder, the key takeaway is that changes in production alone have not been enough to keep earnings in check, so any cautious thesis that focuses on earnings sensitivity to costs finds support in these numbers.

Rich 17.3x P/S with rising losses

• The stock trades on a P/S of 17.3x, which is higher than both the 2.8x peer average and the 7.4x Canadian metals and mining industry average, even though the trailing 12 month result is a net loss of US$48.9 million on US$17.4 million of revenue.
• For a bearish narrative, this valuation multiple is a key sticking point because it sits alongside several concrete balance sheet and dilution concerns, namely a cash runway of less than one year and substantial shareholder dilution over the past year, all while the company remains unprofitable with multi year losses having increased at 72.2% per year.
  • Bears argue that paying a P/S multiple more than 6x above peers is hard to justify when recent trailing revenue has eased from US$21.4 million at FY 2024 Q2 to US$17.4 million at FY 2025 Q3 and earnings remain deeply negative.
  • With the current share price at US$1.38 and no stated analyst target or quantified reward metrics in the data, the tension between a high sales multiple and ongoing losses is exactly what cautious investors are focusing on.

If you want to see how other investors are framing these same numbers and where opinions differ, Curious how numbers become stories that shape markets? Explore Community Narratives

Next Steps

Don’t just look at this quarter; the real story is in the long-term trend. We’ve done an in-depth analysis on Goldgroup Mining’s growth and its valuation to see if today’s price is a bargain. Add the company to your watchlist or portfolio now so you don’t miss the next big move.

Given how cautious much of this analysis has been, it is worth checking the underlying figures yourself and weighing them against your own expectations. If you want to understand the main concerns flagged around this stock, start by reviewing the 3 important warning signs.

Explore Alternatives

Goldgroup Mining is wrestling with deep trailing 12 month losses, volatile earnings, and a rich 17.3x P/S multiple that sits uncomfortably beside balance sheet and dilution concerns.

If you want ideas that place more emphasis on earnings resilience and financial strength, check out the 10 resilient stocks with low risk scores to quickly focus on companies where risk scores and fundamentals may better match your comfort level.

This article by Simply Wall St is general in nature. We provide commentary based on historical data
and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your
financial situation. We aim to bring you long-term focused analysis driven by fundamental data.
Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
Simply Wall St has no position in any stocks mentioned.

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