Cameco (TSX: CCO, NYSE: CCJ) is riding a fresh nuclear optimism and a long -term contract riding, which is increasing its expectations for the rest of 2025, after posting the second quarter earnings.
Among the results released on Wednesday (July 30), the Saskatoon-based firm reported a net income of US $ 234 million for the second quarter and US $ 285 million for the first half of 2025, both are quite above the 2024 levels.
Adjusted for the quarter Ebitda US came in $ 491 million, with a strong contribution to its uranium, fuel services, and westinghouse segments.
“Our integrated strategy that aligns our marketing, operations, and financial decisions, continues to serve us well in a market that is focusing its attention to the security of the supply,” said CEO Tim Gitzel, CEO of Camco.
“As a result, we believe that nuclear power, and in turn, is on a significant path for global energy security, with our tier-one assets in stable courts and strategic investments in the entire nuclear fuel cycle,” Gitzel said.
Cameco’s uranium business benefited from high sales versions and strong average feeling prices, reaching US $ 63.50 per pound, which was above the US $ 61.30.
Repeated by that lift, favorable exchange rates and long-term contracts jointly preserved by short-term instability, contributed to 46 percent year-on-year increase in uranium segment earnings before income taxes in Q2.
Gitzel insisted that the CAMECO contract portfolio allows it to navigate short -term market chaos while remaining for upside.
“From a marketing perspective, we are occupying the value with constant patience and discipline because we are layer of long-term contracts for both uranium and conversion services” he said, given that the contracts and conversions of the fixed-value helped the company insulating the first weak spot situations in the year.
Nevertheless, the company flagged off the operational headwind. A planned maintenance shut in the lake mill increased the unit cost and affected the Q2 production. Cameco is maintaining its full year’s uranium production guidance in 18 million pounds in its Mcarthur River/Key Lake and Cigar Lake Operations, but warned that execution remains risk.
But it was the Westinghouse, the global nuclear service firm in which Camco holds 49 percent stake, which turned the most notable.
The company revised its 2025 adjusted Ebitda stock between US $ 525 million and US $ 580 million, a significant jump from the previous US $ 355–405 million range.
The Westinghouse participation in the construction of two new reactors at the Dukovani Nuclear Power Plant in the Czech Republic was promoted, which contributed an additional US dollars to US $ 170 million to the Q2’s revenue in the equity share of Cameco.
“We believe that the project provides evidence of increasing support for nuclear power, the support that is expected to have a positive impact on our uranium and fuel services businesses,” Gitzel said.
Cameco had distribution commitments for an average of 28 million pounds per year through 2029, expecting high levels between 2025 and 2027.
The company is also searching for future opportunities in promotion, especially through its global laser enrichment (GLE) enterprise. During the company’s earnings call, Executive Vice President and CFO Grant Isaac stated that the GLE focuses on re -dedicating the UF6 tail under an agreement with the US Energy Department (DOE).
“This is the primary responsibility of the GLE,” Isaac said. “GLE can direct the fairway to change Russians and promote high assay to provide fuel for some advanced reactor designs, requiring high levels of enrichment.”
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Securities disclosure: I, Giann Liguid, no direct investment in any company mentioned in this article is interested.
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