PLS Group (PLS) investor relations material

Executive summary

• Achieved record quarterly production of 232,000–232.4kt, up 12% sequentially, with strong operational performance and margin expansion.

• Revenue rose 52% quarter-on-quarter to AUD 567 million, driven by a 61% increase in realized prices for spodumene concentrate.

• Cash balance increased 52% to approximately AUD 1.5 billion (A$1,455M), supported by strong operating cash margins and a US$100M prepayment from Canmax offtake.

• Disciplined capital allocation and staged growth strategy maintained, with Ngungaju Plant restart approved and on track for July 2026.

• FY26 guidance reaffirmed for all operational and financial metrics.

Financial highlights

• Revenue increased 52% quarter-on-quarter to AUD 567 million, with cash margin from operations up 178% to AUD 461 million.

• Realized price for spodumene concentrate surged 61% to US$1,867/t (CIF China, SC5.2 basis).

• Unit FOB operating cost decreased 11% to AUD 520/t (US$362/t); CIF unit cost up 2% to AUD 733/t (US$510/t) due to higher royalties.

• Cash balance increased by approximately AUD 500 million, closing at AUD 1.5 billion.

• Capital expenditure totaled AUD 95 million, with A$71M (cash basis) focused on mine development, infrastructure, and sustaining capital.

Outlook and guidance

• Ngungaju Plant restart remains on track for July 2026, with ramp-up through the September quarter.

• FY26 guidance for production, unit costs, and capital expenditure reaffirmed.

• No material supply chain disruptions expected for FY26 despite geopolitical tensions.

• Capital allocation for FY27 will be detailed in the June quarter update; capex weighted toward mine development.

• Dividend distributions will be considered in line with the capital management framework, targeting 20%-30% of free cash flow.