Texas Mineral Resources Swings to $1.05M Loss in H1 2026 as Equity Holdings Decline
Texas Mineral Resources Corp., a rare earth mineral exploration company, reported a net loss of $1.05 million for the six months ended February 28, 2026, more than double the $471,050 loss in the prior-year period. A $499,865 writedown in marketable equity securities drove the wider loss.
Texas Mineral Resources Corp., a rare earth mineral exploration and development company, reported a net loss of $1.05 million for the six months ended February 28, 2026, compared with a net loss of $471,050 for the same period a year earlier. The company reported no revenue for either period. Read more earnings reports.
The company's loss from operations widened to $562,080 from $437,131 year-over-year. Operating expenses climbed 29% to $562,080 from $437,131, driven primarily by a 32% increase in general and administrative expenses to $542,563 from $411,394.
A $499,865 decline in the value of equity securities contributed significantly to the loss for the six months ended February 28, 2026. The company also recorded $39,425 in interest expense during the period. Other income totaled $14,824, compared with $5,506 in the prior year.
Balance Sheet Strengthens
Total assets rose to $4.41 million at February 28, 2026, from $1.16 million at August 31, 2025. The increase was driven by a $3.16 million rise in total current assets, which reached $3.88 million.
Cash and cash equivalents stood at $789,564 at period end, up from $590,350 at August 31, 2025. The company held $2.98 million in marketable equity securities as of February 28, 2026, an asset that did not appear on the prior period's balance sheet.
Shareholders' equity rose to $4.27 million from $1.04 million. The company issued 9.36 million common shares during the six-month period through warrant exercises and stock-based compensation, bringing total shares outstanding to 88.22 million at February 28, 2026.
Cash Flow and Financing Activity
Cash used in operating activities totaled $430,786 for the six months ended February 28, 2026, compared with $306,245 in the prior-year period. The company received $630,000 from the exercise of common stock options and warrants during the period.
The company received a non-cash contribution of marketable equity securities valued at $3.48 million during the period. Total current liabilities stood at $144,756 at February 28, 2026, including a $75,000 related-party note payable.
Quarterly Results
For the three months ended February 28, 2026, the company reported a net loss of $801,334, compared with a loss of $241,953 in the same quarter a year earlier. The quarterly loss was driven by a $499,865 writedown in equity securities and operating expenses of $310,581.
| Six Months Ended February 28 | 2026 | 2025 |
|---|---|---|
| Total Operating Expenses | $562,080 | $437,131 |
| Loss from Operations | ($562,080) | ($437,131) |
| Total Other (Expense) Income | ($485,041) | ($33,919) |
| Net Loss | ($1,047,121) | ($471,050) |
| Net Loss Per Share | ($0.01) | ($0.01) |
The company's accumulated deficit widened to $46.16 million at February 28, 2026, from $45.11 million at the end of fiscal 2025. Mineral properties remained flat at $490,606.