Terrestrial shares plunge 12.58% after restating Q3 earnings due to project delays

Terrestrial shares fell 12.5771% in pre-market trading on Dec. 18, 2025, marking one of the steepest intraday declines for the stock in recent months amid intensifying market scrutiny.

The sharp drop follows a regulatory filing revealing a significant restatement of third-quarter earnings, which fell short of analyst expectations. The company attributed the shortfall to unanticipated project delays in its core exploration division, though it stopped short of detailing operational missteps or governance concerns.

Analysts noted the market's heightened sensitivity to earnings volatility after a series of short-seller reports earlier in the year. While Terrestrial has maintained its long-term growth narrative, the recent accounting adjustments have reignited questions about the sustainability of its revenue recognition practices.

Investors appeared to price in a near-term earnings contraction, with the sell-off concentrated among institutional holders. The stock's technical profile now shows key support levels at risk, potentially extending the downward trajectory if regulatory investigations remain unresolved.

Given the regulatory scrutiny and the sudden collapse in investor confidence, market participants are now closely watching whether Terrestrial can stabilize its balance sheet and rebuild trust with its stakeholders before the next earnings cycle.