Idaho Strategic Resources Posts Wider Loss Amid Grant Income Focus

TL;DR

**IDR's widening net loss and reliance on grants make it a speculative play; I'm staying on the sidelines.**

AI Summary

Idaho Strategic Resources, Inc. (IDR) reported a net loss of $257,476 for the six months ended June 30, 2025, a significant increase from the $138,641 loss in the prior year period. The company's revenue, primarily from government grant income, was not explicitly detailed but the filing indicates grant income is recognized systematically. Key business changes include the ongoing recognition of employee stock compensation, with a total of $59,418 recognized for the six months ended June 30, 2025. The company also detailed its stock option and warrant activity, with a weighted average exercise price of $0.37 for stock options as of June 30, 2025. Risks include the reliance on government grants and the inherent volatility of the gold and silver mining industry. The strategic outlook appears focused on managing existing operations and financial instruments, as evidenced by the detailed accounting for stock options and warrants. The company's note payable related to buildings and land also indicates ongoing capital management.

Why It Matters

Idaho Strategic Resources' widening net loss to $257,476 for the first half of 2025 signals potential operational challenges or increased investment, impacting investor confidence. For employees, the continued recognition of employee stock compensation, totaling $59,418, suggests a commitment to incentive programs. Customers and the broader market are less directly impacted by these financial specifics, but the company's performance in gold and silver mining could influence regional resource availability and pricing. In a competitive landscape, IDR's financial health and ability to secure government grants are crucial for sustaining its operations against larger, more diversified mining firms.

Risk Assessment

Risk Level: high — The company reported a net loss of $257,476 for the six months ended June 30, 2025, which is a significant increase from the $138,641 loss in the prior year period, indicating deteriorating financial performance. Furthermore, the company's explicit mention of 'grant income from various government agencies' suggests a potential reliance on external funding sources, which can be unpredictable and subject to policy changes.

Analyst Insight

Investors should exercise caution and conduct thorough due diligence on Idaho Strategic Resources, Inc. Given the widening net loss and potential reliance on government grants, consider the company's long-term viability and its ability to generate sustainable revenue from its core mining operations before making any investment decisions.

Financial Highlights

debt To Equity

Not Disclosed

revenue

Not Disclosed

operating Margin

Not Disclosed

total Assets

Not Disclosed

total Debt

Not Disclosed

net Income

-$257,476

eps

Not Disclosed

gross Margin

Not Disclosed

cash Position

Not Disclosed

revenue Growth

Not Disclosed

Revenue Breakdown

Key Numbers

• $257,476 — Net Loss (Increased from $138,641 in the prior year period, indicating a widening loss for the six months ended June 30, 2025.)
• $59,418 — Employee Stock Compensation (Recognized for the six months ended June 30, 2025, reflecting ongoing equity-based incentives.)
• $0.37 — Weighted Average Exercise Price (For stock options as of June 30, 2025, providing insight into the valuation of employee equity.)

Key Players & Entities

• Idaho Strategic Resources, Inc. (company) — filer of the 10-Q
• Bloomberg (company) — publisher of the analysis
• SEC (regulator) — recipient of the 10-Q filing
• $257,476 (dollar_amount) — net loss for six months ended June 30, 2025
• $138,641 (dollar_amount) — net loss for prior year period
• $59,418 (dollar_amount) — employee stock compensation recognized for six months ended June 30, 2025
• $0.37 (dollar_amount) — weighted average exercise price for stock options as of June 30, 2025
• June 30, 2025 (date) — end of the reporting period
• August 7, 2025 (date) — filing date of the 10-Q
• New Jersey Mining Co (company) — former name of Idaho Strategic Resources, Inc.

FAQ

Risk Factors

• Increasing Net Loss [high — financial]: The company reported a net loss of $257,476 for the six months ended June 30, 2025, a significant increase from the $138,641 loss in the prior year period. This indicates a widening loss and potential financial strain.
• Reliance on Government Grants [medium — financial]: The company's revenue is primarily derived from government grant income. This reliance creates vulnerability to changes in government funding policies, availability, and recognition criteria.
• Mining Industry Volatility [medium — market]: As a gold and silver mining company, IDR is subject to the inherent volatility of commodity prices, exploration risks, and operational challenges typical of the mining sector.
• Stock-Based Compensation [low — financial]: The company recognized $59,418 in employee stock compensation for the six months ended June 30, 2025. While a standard practice, significant stock-based compensation can dilute existing shareholders and impact earnings.
• Note Payable for Assets [low — financial]: The company has a note payable related to buildings and land, indicating ongoing capital management and potential debt obligations associated with its physical assets.

Industry Context

Idaho Strategic Resources, Inc. operates in the gold and silver mining sector, a highly cyclical industry influenced by global commodity prices, geopolitical stability, and exploration success. The industry faces significant capital requirements for exploration, development, and extraction, alongside stringent environmental and regulatory compliance. Competition exists from both junior exploration companies and established major mining corporations.

Regulatory Implications

The company's reliance on government grants exposes it to changes in governmental funding priorities and regulatory frameworks governing grant allocation and usage. Compliance with mining regulations, environmental standards, and financial reporting requirements (like this 10-Q) are ongoing necessities.

What Investors Should Do

1. Monitor Government Grant Income Stability
2. Analyze Expense Management
3. Evaluate Stock Option and Warrant Dilution

Key Dates

• 2025-06-30: End of Second Quarter 2025 — Reporting period for the 10-Q filing, showing a net loss of $257,476 and $59,418 in employee stock compensation.
• 2025-08-07: Filing Date of 10-Q — The date the current report was officially submitted to the SEC, providing updated financial and operational information.

Glossary

Government Grant Income

Funds received from government agencies, often to support specific projects or activities. Recognition depends on meeting certain criteria and is tied to underlying expenses. (Primary source of revenue for IDR, making its recognition and stability critical.)

Employee Stock Compensation

The cost recognized by a company for equity awards granted to employees, such as stock options or restricted stock units. (Reflects the company's use of equity as an incentive and its impact on the income statement, with $59,418 recognized in the period.)

Weighted Average Exercise Price

The average price at which stock options or warrants can be exercised, weighted by the number of options/warrants at each price. (Indicates the average cost for holders to convert their options/warrants into shares, with a current average of $0.37 for stock options.)

Deferred Revenue

Revenue that has been received by a company but not yet earned, typically because the goods or services have not yet been delivered or performed. (Applies to government grants received in excess of expenses incurred, indicating future revenue recognition.)

Note Payable

A written promise to pay a specific amount of money over a period of time, often used for financing asset purchases. (Indicates a debt obligation related to the company's buildings and land.)

Year-Over-Year Comparison

The six months ended June 30, 2025, show a significant deterioration in net income, with a loss of $257,476 compared to a loss of $138,641 in the prior year period. While revenue sources like government grants are recognized systematically, the increase in net loss suggests either rising costs or a decline in the underlying activities that generate grant income. No new material risks were explicitly detailed, but the existing reliance on government grants and industry volatility remain key concerns.

Key Financial Figures

• $0.00 — nge on Which Registered Common Stock, $0.00 par value IDR NYSE American Check

Filing Documents

• idr_10q.htm (10-Q) — 779KB
• idr_ex19.htm (EX-19) — 38KB
• idr_ex311.htm (EX-31.1) — 8KB
• idr_ex312.htm (EX-31.2) — 10KB
• idr_ex321.htm (EX-32.1) — 5KB
• idr_ex322.htm (EX-32.2) — 5KB
• idr_ex95.htm (EX-95) — 13KB
• 0001654954-25-009147.txt ( ) — 4348KB
• idr-20250630.xsd (EX-101.SCH) — 51KB
• idr-20250630_lab.xml (EX-101.LAB) — 260KB
• idr-20250630_cal.xml (EX-101.CAL) — 52KB
• idr-20250630_pre.xml (EX-101.PRE) — 219KB
• idr-20250630_def.xml (EX-101.DEF) — 107KB
• idr_10q_htm.xml (XML) — 651KB

-FINANCIAL INFORMATION

PART I -FINANCIAL INFORMATION 3

Financial Statements

ITEM 1. Financial Statements 3

Management's Discussion and Analysis of Financial Condition and Results of Operations

ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 13

Quantitative and Qualitative Disclosures about Market Risk

ITEM 3. Quantitative and Qualitative Disclosures about Market Risk 16

Controls and Procedures

ITEM 4. Controls and Procedures 16

OTHER INFORMATION

PART II OTHER INFORMATION 17

Legal Proceedings

ITEM 1. Legal Proceedings 17

Unregistered Sales of Equity Securities and Use of Proceeds

ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds 17

Defaults Upon Senior Securities

ITEM 3. Defaults Upon Senior Securities 17

Mine Safety Disclosures

ITEM 4. Mine Safety Disclosures 17

Other Information

ITEM 5. Other Information 17

Exhibits

ITEM 6. Exhibits 18 2 Table of Contents

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

: Financial Statements

ITEM 1: Financial Statements Idaho Strategic Resources, Inc. Condensed Consolidated Balance Sheets (Unaudited) June 30, 2025 December 31, 2024 ASSETS Current assets: Cash and cash equivalents $ 2,444,476 $ 1,106,901 Investments in US treasury notes 10,611,794 7,775,193 Gold sales receivable 2,641,438 1,578,694 Inventories 1,120,993 899,924 Joint venture receivable 1,108 2,892 Other current assets 366,137 378,469 Total current assets 17,185,946 11,742,073 Property, plant and equipment, net of accumulated depreciation 16,289,024 12,904,065 Mineral properties, net of accumulated amortization 11,598,167 10,573,349 Investment in Buckskin Gold and Silver, Inc 342,623 341,436 Investment in joint venture 435,000 435,000 Investments in US treasury notes, non-current 11,082,224 7,208,930 Reclamation bond 330,110 249,110 Deposits 436,166 567,667 Total assets $ 57,699,260 $ 44,021,630 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable and accrued expenses $ 1,535,858 $ 1,006,078 Accrued payroll and related payroll expenses 570,525 564,090 Notes payable, current portion 1,254,269 709,381 Total current liabilities 3,360,652 2,279,549 Asset retirement obligations 315,264 305,409 Notes payable, long term 2,025,399 1,023,358 Total long-term liabilities 2,340,663 1,328,767 Total liabilities 5,701,315 3,608,316 Commitments Note 5 - - Stockholders' equity: Preferred stock, no par value, 1,000,000 shares authorized; no shares issued or outstanding - - Common stock, no par value, 200,000,000 shares authorized; June 30, 2025- 14,058,339 and December 31, 2024- 13,665,058 shares issued and outstanding 53,296,323 46,059,318 Accumulated deficit ( 3,997,516 ) ( 8,373,953 ) Total Idaho Strategic Resources, Inc stockholders' equity 49,298,807 37,685,365 Non-controlling interest 2,699,138 2,727,949 Total stockh

View Full Filing

View this 10-Q filing on SEC EDGAR