Fenix Resources (FEX) H2 2024 earnings summary

Executive summary

• Achieved record operational and financial results for FY24, with EBITDA up 36% to A$73.2 million and net profit after tax up 15% to A$33.6 million.

• Ended the year with A$77 million in cash, supporting a strong balance sheet and future growth initiatives.

• Total iron ore sales reached 1.46 million wmt, with 25 shipments from Iron Ridge and additional third-party shipments boosting total port throughput.

• Expansion projects at Shine and Beebyn-W11 are set to increase annual production capacity from ~1.5Mtpa to ~4Mtpa.

Financial highlights

• Total iron ore sales revenue rose 22% year-over-year to A$240.1 million.

• Annual revenues, including third-party logistics, increased 32% to A$259 million.

• Average iron ore price received was US$125/dmt (A$191/dmt), up from US$113/dmt (A$167/dmt) in FY23.

• C1 cash costs for Iron Ridge reduced by 4.4% to A$77.9/wmt FOB Geraldton.

• Net average C1 operating margin for Iron Ridge improved to A$79/dmt, up from A$49/dmt.

Outlook and guidance

• Mining at Shine Iron Ore Mine to restart, targeting 100,000 tonnes per month from December 2024 through FY2025 and FY2026.

• Beebyn-W11 mine feasibility study completed; production of 1.5Mtpa expected from early 2025.

• Expansion to increase total production capacity to ~4Mtpa, driving future revenue and profitability.

• 210,000 tonnes of iron ore hedged from July to December 2024 at A$170/t.