Gold Royalty Corp. (GROY): Business Model Canvas [Dec-2025 Updated]

You're looking past the stock ticker to understand the core engine of Gold Royalty Corp. (GROY), especially now that they are projecting positive free cash flow in 2025. Honestly, their business is elegantly simple: they own a piece of the action-a diversified portfolio of over 250 royalty and stream interests-without taking on the operating risk of mining itself. This asset-light approach is why their gross margin sits near 87.5%, driving expected full-year revenue for 2025 past $15 million. Below, I've mapped out the nine building blocks of their Business Model Canvas so you can see precisely how they structure these high-margin deals and fund future growth.

Gold Royalty Corp. (GROY) - Canvas Business Model: Key Partnerships

The Key Partnerships block for Gold Royalty Corp. (GROY) centers on the operators who develop the assets underlying the company's royalties and the strategic investors who provide capital structure support. This network is critical as GROY is insulated from capital and operating costs once a royalty is acquired.

The financial backing is anchored by major institutions, specifically the Bank of Montreal and National Bank Capital Markets, who amended and upsized the revolving credit facility.

• Upsized revolving credit facility base amount: $75 million.
• Accordion option for additional availability: $25 million, bringing the total potential facility size to $100 million.
• Facility maturity date: November 2028.
• Interest margin adjustment: Reduced to a range of 2.5% to 3.5% over SOFR, contingent on the leverage ratio.
• Condition for upsize: Retirement of at least 75% of the outstanding 10% convertible debentures due in 2028.
• Debt repayment activity: GROY repaid $2.0 million on the revolver in Q3 2025 and an additional $5.0 million subsequent to quarter-end.

Strategic shareholder support is a key component, providing stability and alignment with major industry players.

• Stake held by GoldMining Inc.: 12%.
• Stake held by Nevada Gold Mines (NGM): 6%.

The operational partnerships involve financing and acquiring interests on assets developed by established mining operators. The portfolio size as of late 2025 is over 250 royalties and streams.

The royalty generator model, which involves prospectors and geologists, is a distinct partnership pillar that creates assets at minimal cost to Gold Royalty Corp. (GROY).

• Royalties generated by the model since 2021: 51.
• Total assets in the portfolio as of October 2025: 250+.
• Properties subject to land agreements (H1 2025): 36.
• Properties under lease (H1 2025): 6.

Gold Royalty Corp. (GROY) - Canvas Business Model: Key Activities

Gold Royalty Corp. (GROY) focuses its key activities on growing and managing its portfolio of precious metals royalties and streams, underpinned by a disciplined capital allocation strategy.

The core activities revolve around strategic acquisition, active management, and providing bespoke financing solutions to mining partners.

• Acquiring new gold and precious metals royalties/streams through direct financing, third-party purchases, corporate mergers, and in-house generation.
• Managing a portfolio of over 250 royalty and stream interests, which reached this milestone with the Spanish Moon Project acquisition in October 2025.
• Providing creative, non-dilutive project financing to mine developers, taking a percentage of the topline revenue without exposure to capital or operating costs.
• In-house royalty generation through the royalty generator model, which has generated 51 royalties since the acquisition of Ely Gold Royalties Inc. in 2021. Two new royalties were added in the first nine months of 2025.
• Capital allocation focused on debt reduction and future growth, prioritizing de-leveraging using cash generated from operations.

The operational results from the third quarter of 2025 demonstrate the cash-flow generation from these activities, which is now being directed toward strengthening the balance sheet.

The activity of providing financing directly to operators is a key pillar, as is the acquisition of established royalty companies, which has contributed to the current portfolio size. The company is on track to continue using operational cash flow to de-lever throughout 2026, with a goal of being essentially debt-free by the end of 2026.

The portfolio is anchored by several key assets currently ramping up, such as the Côté Gold mine, Borborema, and Vareš, which are driving the current revenue growth.

• Côté Gold mine (0.75% NSR) produced 106,000 ounces on a 100% basis in Q3 2025.
• Borborema achieved commercial production on September 23, 2025.

This activity of managing producing assets is expected to generate peer-leading revenue growth, with a five-year outlook targeting 23,000 to 28,000 GEOs by 2029.

Gold Royalty Corp. (GROY) - Canvas Business Model: Key Resources

The Key Resources for Gold Royalty Corp. (GROY) are centered on its established asset base, recent financial achievements that validate the model, and the financial flexibility to pursue further growth. These resources are what allow Gold Royalty Corp. to operate as a project finance company, insulated from the day-to-day capital and operating expenditures of the miners.

The core tangible asset is the portfolio itself, which is highly diversified across the Americas. As of late 2025, this portfolio consists of over 250 royalties and streams. This scale is anchored by several high-profile, producing, or near-production assets that are critical to near-term cash flow generation.

The operational success in the third quarter of 2025 provided concrete evidence of the resource base's value generation:

• Total Revenue, Land Agreement Proceeds and Interest for Q3 2025 reached $4.6 million from 1,323 gold equivalent ounces (GEOs).
• Record Adjusted EBITDA for Q3 2025 was $2.52 million.
• The company achieved a record positive operating cash flow of $2.44 million in Q3 2025.

This positive cash flow is immediately deployed to strengthen the balance sheet, which is a key internal resource for maintaining operational independence. During and subsequent to Q3 2025, Gold Royalty Corp. repaid a total of $7.0 million on its revolving credit facility, with $2.0 million repaid in the quarter and an additional $5.0 million repaid afterward. This disciplined capital allocation supports future acquisition capacity.

The financial structure supporting future acquisitions is the revolving credit facility, which was recently enhanced to provide significant liquidity for funding new deals:

The human capital resource is the management team, which brings deep, specialized knowledge to the royalty and streaming sector. This expertise is vital for structuring deals and assessing the technical and financial viability of the underlying mining projects. The team's track record in mining and finance is a non-quantifiable but essential resource for deal sourcing and execution.

The flagship royalties represent concentrated, high-value resources within the larger portfolio. These specific interests include:

• Canadian Malartic (Odyssey underground): A 3% Net Smelter Return (NSR) royalty.
• Côté Gold: A 0.75% NSR royalty.
• Goldstrike Mine (Wren deposit): A 1.5% NSR royalty and a 3.5% Net Profit Interest (NPI) over the deposit.

The company's ability to generate revenue from these assets without incurring operating costs is a fundamental resource advantage. For instance, the Q3 2025 revenue of $4.1 million (from the $4.6 million Total Revenue, Land Agreement Proceeds and Interest figure) is generated with a gross margin that reflects this structural benefit.

Gold Royalty Corp. (GROY) - Canvas Business Model: Value Propositions

You're looking at the core reasons why mine operators partner with Gold Royalty Corp. (GROY) and why investors are drawn to the structure. The value proposition centers on providing capital without taking on the operational headaches of mining.

The financing offered is explicitly non-dilutive and non-recourse project financing for mine operators. This means Gold Royalty Corp. provides capital by acquiring a royalty or stream interest, which doesn't require the operator to give up equity (non-dilutive) or pledge other assets as collateral (non-recourse).

The structure inherently provides exposure to the upside of the gold price without the burden of operating or capital cost risk. This is because the revenue is generated from royalties and streams, which are insulated from inflating capital and operating costs that plague miners. Here's the quick math on the cost structure:

This fixed cost base means that each incremental dollar of revenue growth translates directly into free cash flow growth, which is the financial evidence supporting the high-margin nature of the business model.

The high-growth profile is clearly quantified by the production guidance for the year. Gold Royalty Corp. maintains its 2025 full-year production guidance targeting between 5,700 and 7,000 GEOs. This forecast includes about 600 GEOs derived from contractual Land Agreement Proceeds for 2025.

The company builds value through diversification across mine life cycles and geographic regions. As of March 31, 2025, Gold Royalty Corp. held over 240 royalties across premier mining jurisdictions. The portfolio is anchored by key assets that are in ramp-up or production phases, providing immediate cash flow alongside long-term optionality. This diversification reduces dependency on any single asset or location.

The core value propositions can be summarized like this:

• Non-dilutive, non-recourse project financing provided.
• Exposure to commodity upside without operating costs.
• 2025 GEO guidance maintained at 5,700-7,000 ounces.
• Portfolio includes over 240 royalties as of March 31, 2025.
• Revenue growth translates directly to free cash flow growth.

For context on recent performance supporting this value delivery, the first nine months of 2025 saw Total Revenue, Land Agreement Proceeds and Interest reach a record $12.6 million, equating to 3,918 GEOs.

Gold Royalty Corp. (GROY) - Canvas Business Model: Customer Relationships

Gold Royalty Corp. (GROY) structures its customer relationships across distinct, non-overlapping segments, reflecting its role as a financier and portfolio manager rather than a direct producer.

Transactional and long-term partnerships with mine operators

The core of Gold Royalty Corp. (GROY)'s operational relationships is with the mine operators who develop and run the assets underlying its royalties and streams. These are primarily long-term, contractual partnerships where Gold Royalty Corp. (GROY) provides upfront capital in exchange for a percentage of future revenue, insulating them from operating costs.

As of late 2025, Gold Royalty Corp. (GROY) has built a diversified portfolio consisting of over 240 royalties and streams. This portfolio has grown from 18 royalties at its March 2021 IPO. The company recently added its milestone 250th asset, the Spanish Moon Project, to Kinross Gold Corporation, retaining a 3% net smelter return (NSR) royalty.

The performance of these operators directly impacts Gold Royalty Corp. (GROY)'s revenue. For the third quarter of 2025, the company reported Total Revenue, Land Agreement Proceeds and Interest of $4.6 million, equating to 1,323 gold equivalent ounces (GEOs). The company expects total 2025 GEOs to be in the range of 5,700 to 7,000.

Key relationships are anchored by royalties on major operations:

• Canadian Malartic (Odyssey underground): 3% NSR.
• Côté Gold Project: 0.75% NSR.
• Goldstrike Mine (Wren deposit): 1.5% NSR and 3.5% Net Profit Interest.

The relationship with the operator of the Vareš mine, DPM Metals, is undergoing a short-term shift as the operator focuses on development, which temporarily displaced mine production activity for approximately 6 months.

Investor relations for public equity shareholders (NYSE American: GROY)

Gold Royalty Corp. (GROY) maintains a formal relationship with its public equity shareholders, as its shares trade on the NYSE American under the ticker GROY. The company has been focused on delivering financial milestones to this group, reporting a second consecutive quarter of positive free cash flow in Q3 2025.

Key financial metrics relevant to shareholder perception in Q3 2025 include:

The company also manages relationships with holders of its warrants (trading as GROY.WS), which are exercisable at a price of $2.25 per share until they expire on May 31, 2027. Furthermore, the company noted that an entity named Tether acquired approximately 10% of its outstanding shares.

Corporate development team for sourcing and structuring new deals

The Corporate Development team, led by the Chief Development Officer, is responsible for sourcing and structuring the transactions that grow the asset base. This team engages in transactional relationships with mining companies, prospectors, and sellers of existing royalty portfolios.

The team's success is evident in the portfolio growth, reaching over 240 royalties and streams. The royalty generator model, a key sourcing channel, has created 51 royalties since 2021. As of October 2025, Gold Royalty Corp. (GROY) has 36 properties under land agreements and six under lease generating proceeds.

The corporate development focus is on disciplined capital allocation, prioritizing assets that are already permitted or built, as over 85% of the net asset value resides in Canada and the US, indicating a low geopolitical risk footprint. The team is currently not prioritizing targeting pre-construction royalties due to an existing deep pipeline of early-stage royalties.

Minimal direct interaction with end-users of the mined metal

Gold Royalty Corp. (GROY) has virtually no direct customer relationship with the end-users, such as jewelers, manufacturers, or consumers, of the gold and copper produced from its underlying assets. The company's revenue is derived from the contractual obligations of the mine operators, not from spot market sales to the public.

The business model is designed to be entirely upstream from the end-user:

• Revenue is generated from a percentage of the mine's revenue (NSR royalty) or metal production (stream).
• The company is insulated from operating costs and capital costs once a royalty or stream is acquired.
• The company's financial results are tied to the production volumes (e.g., 1,323 GEOs in Q3 2025) and the realized metal prices (e.g., 2025 outlook used an assumed gold price of $2,668/oz).

Gold Royalty Corp. (GROY) - Canvas Business Model: Channels

Direct negotiations with mining companies for royalty/stream acquisitions

Gold Royalty Corp. uses direct engagement to grow its portfolio, which as of late 2025 consists of over 240 royalty and streaming interests across the Americas. The company has reviewed well over 400 transactions since its March 2021 initial public offering. In the first nine months of 2025, Gold Royalty Corp. added two new royalties, contributing to a total of 51 royalties generated since 2021. The acquisition strategy focuses on securing interests on high-quality assets, including flagship royalties on major operations such as a 3% NSR over the Canadian Malartic (Odyssey underground) mine and a 0.75% NSR royalty over the Côté Gold project.

The company offers creative financing solutions to the metals and mining industry, typically receiving consideration in cash for vending assets.

Public equity markets (NYSE American) for capital raising and liquidity

Gold Royalty Corp. accesses public equity markets via its listing on the NYSE American under the ticker symbol GROY. As of November 29, 2025, the market capitalization stood at $739.84 million, with the last traded price at $4.32. The stock showed significant year-to-date momentum, achieving a share price return of 235.48 percent as of December 4, 2025. The company has used its balance sheet management, including upsizing and extending its revolving credit facility, to fund growth and retire higher coupon debentures. In the third quarter of 2025, Gold Royalty Corp. repaid $2.0 million on its revolving credit facility, with an additional $5.0 million repaid subsequent to the quarter-end.

The company has outstanding share purchase warrants as a form of potential future equity liquidity event. As of September 30, 2025, there were 16,935,990 warrants outstanding, exercisable at an exercise price of $2.25 per share until May 31, 2027.

Investor presentations and financial reports for shareholder communication

Shareholder communication is driven by regular financial reporting, such as the third-quarter 2025 results released on November 5, 2025. The Q3 2025 results showed record performance, with revenue at $4.1 million and Total Revenue, Land Agreement Proceeds and Interest at $4.6 million, derived from 1,323 GEOs for the quarter. Adjusted EBITDA for Q3 2025 was a record $2.5 million, accompanied by record positive operating cash flow of $2.4 million. For the first nine months of 2025, Total Revenue, Land Agreement Proceeds and Interest reached a record $12.6 million, marking a 40% increase year-over-year. Analysts project the full fiscal year 2025 revenue to be approximately $18.5 million, representing an 83% increase from the 2024 total of $10.1 million.

The company maintains its 2025 full-year production guidance in the range of 5,700 - 7,000 GEOs. The longer-term outlook for 2029 targets 23,000 to 28,000 GEOs.

Financial Performance Summary (Q3 2025)

Corporate website and news releases for market updates

Market updates and official filings are disseminated through news releases and the corporate website, www.goldroyalty.com. The company uses news releases to announce key operational and financial milestones, such as the Q3 2025 results announcement on November 5, 2025. The website hosts investor presentation materials, with the Q3 2025 presentation being made available there.

• Website URL: www.goldroyalty.com
• Stock Exchange: NYSE American
• Latest Financial Release Date Cited: November 5, 2025 (Q3 2025)
• Warrant Symbol: GROY.WS

Gold Royalty Corp. (GROY) - Canvas Business Model: Customer Segments

You're looking at the client base for Gold Royalty Corp. (GROY) as of late 2025. This company doesn't sell a product; it buys or generates rights to future revenue from metal production, so its 'customers' are the miners who need capital and the investors who want exposure to those royalties.

Mid-tier and major gold/copper mining companies needing development capital

Gold Royalty Corp. (GROY) provides financing solutions to these operators by acquiring royalties and streams. The portfolio anchors on assets operated by large entities; for instance, Gold Royalty Corp. holds royalties on three of the five largest gold mines in Canada and the USA as of July 2025. The company recently added its 250th asset through a sale to Kinross Gold Corporation.

The counterparties are developing projects like Côté Gold Mine, Borborema, and Vareš, which are key to the company's growth profile.

Institutional and retail investors seeking gold exposure and growth

These are the shareholders funding Gold Royalty Corp. (GROY)'s acquisitions and holding the equity. The company boasts a market capitalization of approximately $629 million as of November 2025. Analysts maintained a Buy rating in late 2025, with price targets around $5.00 to $6.25. The stock price was around $4.16 in early December 2025, showing a year-to-date return of 235.48 percent. The company is focused on delivering peer-leading revenue growth, projecting expected 367% Gold Equivalent Ounce (GEO) growth by 2029.

Other royalty/streaming companies for asset swaps or sales

Gold Royalty Corp. (GROY) has grown significantly through corporate mergers and acquisitions (M&A), which is one of its four unique pillars of growth. This segment involves transactions with peers, such as the acquisitions of established royalty companies like Ely Gold, Golden Valley, and Abitibi Royalties.

Prospectors and junior explorers for early-stage royalty generation

This segment is served by Gold Royalty Corp. (GROY)'s in-house royalty generator model. This model has generated 51 royalties since the acquisition of Ely Gold Royalties Inc. in 2021. The company had 36 properties subject to land agreements and six properties under lease generating land agreement proceeds as of late 2025. The County Line royalty, for example, was initially generated through this successful generator model.

Here's a look at the financial scale supporting these customer relationships as of Q3 2025 and guidance for the full year:

The company expects to continue using cash generated from operations to de-lever throughout 2026.

• Financing provided directly to operators.
• Purchases of royalty and stream assets from third parties.
• Corporate M&A of royalty companies.
• In-house royalty generation via the generator model.

Gold Royalty Corp. (GROY) - Canvas Business Model: Cost Structure

You're looking at the cost side of Gold Royalty Corp.'s (GROY) business, which is fundamentally about keeping overhead low while acquiring cash-flowing assets. The core advantage here is the lack of exposure to mine operating costs, which is a massive variable cost for miners.

Fixed General and Administrative (G&A) expenses, kept relatively stable

Gold Royalty Corp. emphasizes a scalable model where G&A costs are managed to remain relatively flat, which helps boost margins as revenue grows. For instance, in the first quarter of 2025, G&A costs were reported at $1.8 million. This stability continued into the second quarter of 2025, with Q2 G&A costs also reported at $1.8 million. The expectation is that as the portfolio matures, this cost base will be spread over a larger revenue base.

The stability of these fixed costs is a key component of their cost structure:

• G&A costs for Q1 2025 were $1.8 million.
• G&A costs for Q2 2025 were $1.8 million.
• The company expects the operating cost structure, including G&A, to remain relatively stable moving forward.

Interest expense on the revolving credit facility

Financing costs are primarily driven by debt, specifically the revolving credit facility. Gold Royalty Corp. took steps in late 2025 to optimize this. They amended and upsized their facility, which now has a maximum availability of $100 million (a base of $75 million with an accordion option for an additional $25 million), with maturity extended to November 2028. This move was intended to secure better lending terms and lower interest costs. The interest margin is now based on a leverage grid ranging from 2.5% to 3.5% over SOFR, an improvement from the previous 3.00% margin over SOFR on the initial facility. Furthermore, the company executed an early redemption and conversion of $40 million principal amount of its 10% convertible debentures due in 2028, eliminating that higher coupon debt. As of June 30, 2025, the outstanding balance on the revolving credit facility was $27.3 million, which management prioritized paying down with excess cash.

Here's a look at the recent debt management actions:

Minimal operating costs for maintaining underlying mineral interests

This is where the royalty model shines; Gold Royalty Corp. has virtually no exposure to the high operating costs of extraction. The costs incurred are only for maintaining the mineral interests themselves. For the first quarter of 2025, this expense was approximately $0.02 million. Looking at the first half of 2025, the total spent on maintaining mineral interests was $0.04 million.

Acquisition costs (upfront payments) for new royalties and streams

Acquisition costs are capital expenditures for growth, not recurring operating costs. The company's royalty generator model has been active, adding two new royalties in the first half of 2025, bringing the total portfolio to 50 royalties since the 2021 acquisition of Ely Gold Royalties Inc. While specific upfront payments for these two H1 2025 additions aren't detailed, the model is designed to acquire these interests using capital from cash flow or debt facilities, like the upsized credit line.

Low-cost, scalable model due to no exposure to mine operating costs

The entire structure is built around this principle. Because Gold Royalty Corp. does not operate the mines, its primary costs are fixed G&A and interest on debt used for acquisitions. This contrasts sharply with the operators who bear the variable costs of production. The company's gross margin stood at 71.05% in a recent period, which reflects strong revenue retention after direct costs-though it is important to note the net margin was negative at -44.27%, reflecting financing and other non-operating expenses.

The model's scalability means that as production ramps up at assets like Côté Gold, Vareš, and Borborema, revenue increases significantly without a corresponding increase in operating expenses. For example, the company achieved a record positive operating cash flow of $2.5 million in Q1 2025, which was over 180% higher than the previous quarter, while G&A costs remained flat at $1.8 million.

Gold Royalty Corp. (GROY) - Canvas Business Model: Revenue Streams

You're looking at how Gold Royalty Corp. (GROY) actually brings in cash from its portfolio of assets as of late 2025. It's not about selling shovels; it's about owning the rights to the metal that comes out of the ground. This is a pure-play royalty and stream model, which means revenue is generated without the operational headaches of running a mine. That's the key difference here.

The core of the revenue engine is built on Net Smelter Return (NSR) royalties from gold and copper production. This structure is attractive because when metal prices rise, the revenue increases without a corresponding rise in the company's operating costs, as those costs stay with the mine operator. You see this clearly in the recent performance.

The financial results through the first nine months of 2025 show solid top-line growth driven by these underlying assets ramping up:

• Total Revenue for the first nine months of 2025 was reported at $11.1 million.
• The combined figure, Total Revenue, Land Agreement Proceeds and Interest, reached a record $12.6 million for the same nine-month period.
• This nine-month performance equated to 3,918 gold equivalent ounces (GEOs).

The portfolio is intentionally diversifying metal exposure. You can see this with the inclusion of the revenue from a copper stream (Vareš) diversifying metal exposure. The Vareš mine delivered meaningful copper revenue to Gold Royalty Corp. during 2025, even as it transitioned to its new owner, DPM Metals.

Beyond the physical production, Gold Royalty Corp. also captures income from its upfront deal-making:

• Land agreement proceeds and interest income are bundled with royalty and stream revenue in the total metric, showing the value of their upfront financing activities.
• For the third quarter of 2025 alone, the combined Total Revenue, Land Agreement Proceeds and Interest was $4.6 million, with revenue being $4.1 million for that quarter.

Looking ahead, the company's 2025 guidance, based on the ramp-up of assets like Côté, Vareš, and Borborema, was set in the range of 5,700 to 7,000 GEOs. While the final GEOs were expected to be near or modestly below the low end of that range, analyst consensus provides a specific revenue expectation for the full year:

The expectation for the full year, based on analyst consensus, is for revenue to hit approximately $14.464 million. That's a solid jump, reflecting the strategy of acquiring royalties on assets that are either already built or in the final stages of construction, which minimizes execution risk for Gold Royalty Corp. itself.

Finance: draft 13-week cash view by Friday.