Shares of The Metals Company (TMC) plunged 9.61% in Friday's trading session, as investors reacted negatively to the company's disappointing second-quarter 2025 financial results released after market close on Thursday. The deep-sea mining company's stock price drop accelerated from the 5.36% decline seen in pre-market trading, reflecting growing investor concerns.

The company reported a substantial net loss of $74.3 million for the quarter ended June 30, 2025, significantly wider than the $20.2 million loss reported in the same period last year. Earnings per share came in at -$0.20, missing the analyst consensus estimate of -$0.05 by a wide margin. The expanded loss was primarily attributed to several factors, including a non-recurring charge of $33 million for warrants issued to the Republic of Nauru, a $16.2 million charge due to an increase in warrant liability fair value, and higher general and administrative expenses.

Despite the negative financial results, TMC Chairman and CEO Gerard Barron attempted to highlight some positive developments and emphasize the company's long-term potential. These included a strategic $85 million investment from Korea Zinc, progress on regulatory approvals, and a combined Net Present Value of $23.6 billion for its portfolio. The company is targeting first production from its NORI-D project in Q4 2027. However, these future prospects were overshadowed by the immediate financial performance, leading to the significant stock decline as investors focused on the current challenges facing the deep-sea mining company.