Fortescue (FMG) H1 2026 earnings summary

Executive summary

• Achieved record first half iron ore shipments of 100.2Mt, up 3% year-over-year, with strong operational and safety performance.

• Net profit after tax rose 23% year-over-year to US$1,914 million, with earnings per share of US$0.62.

• Fully franked interim dividend of A$0.62 per share declared, representing a 65% payout ratio and 24% increase year-over-year.

• Significant progress in decarbonisation, including large-scale solar, wind, and battery projects.

• Strategic acquisition of Alta Copper to expand the copper portfolio and support diversification.

Financial highlights

• Revenue for H1 FY26 was US$8.4 billion, up 10% year-over-year, driven by higher sales volumes and realized prices.

• Underlying EBITDA increased 23% to US$4.5 billion, with a 53% margin.

• Net cash flow from operations grew 32% to US$3.2 billion; free cash flow was US$1.5 billion.

• Hematite realized price increased 7% to US$91/dmt; C1 unit costs reduced by 3% to US$18.64/wmt.

• Cash on hand of US$4.7 billion and net debt of US$1.0 billion at period end.

Outlook and guidance

• FY26 iron ore shipment guidance is 195–205Mt, including 10–12Mt from Iron Bridge.

• Hematite C1 unit cost guidance of US$17.50–US$18.50/wmt.

• Metals capital expenditure expected at US$3.3–4.5 billion annually; energy capex at US$300 million.

• Decarbonisation CapEx expected to remain elevated, with a run rate of about US$1 billion per year to the end of the decade.

• Continued focus on decarbonisation and disciplined capital allocation aligned with market demand.