Arafura Rare Earths (ARU) Q1 2027 earnings summary

Executive summary

• Nolans moved from planning into delivery, with early construction and site mobilisation underway following the May 2026 FID.

• Procurement scope of ~A$700m was advanced; a further ~A$350m of tenders is anticipated over the next six months.

• Total cash, cash equivalents and term deposits reached A$885m at 30 September 2026, including proceeds from Tranche 2 of the May placement.

Financial highlights

• Cash and cash equivalents were A$160.2m at quarter end, with A$725m in term deposits; combined balances were A$885m.

• Operating cash outflow was A$14.3m, including A$14.8m of development payments; investing outflow was A$229.7m, including A$225m invested in term deposits.

• Financing cash inflow was A$181.0m, including A$186.0m of equity proceeds and A$4.9m of borrowing transaction costs.

• Quarter spending included ~A$0.3m on exploration and evaluation, ~A$6.1m on corporate and business development, and ~A$14.8m on project development.

Outlook and guidance

• A further ~A$350m of procurement tenders is anticipated over the next six months.

• Clean TeQ Ion Exchange pilot testing is expected to conclude by calendar year-end; Dy and Tb recovery optimisation studies continue through the year.

• Completion of GRMF and EFA equity subscriptions is expected alongside contractual close of debt facilities, subject to conditions precedent and final credit approvals.