IGO (IGO) Q4 2024 earnings summary

Executive summary

• TRIFR improved to 10.4 for FY24, down 34% year over year, while safety remains a focus.

• Strong cash generation lifted net cash to $468M at year-end; TLEA dividends totaled $761M for FY24.

• Greenbushes returned to full production, Kwinana reliability improved, and Nova generated strong free cash flow.

• Forrestania met FY24 production guidance despite operational challenges and is transitioning to care and maintenance.

• Exploration assets face a $275M–$295M non-cash impairment as portfolio rationalisation and a strategy refresh continue.

Financial highlights

• 4Q24 sales revenue was $234.7M, up 46% QoQ; FY24 revenue was $822.6M.

• Underlying EBITDA was $88.2M in 4Q24 and $588.2M for FY24.

• Underlying free cash flow was $200.7M in 4Q24, up 154% QoQ, and $713.2M for FY24.

• Net cash from operating activities was $204.7M in 4Q24, including $159.3M in TLEA dividends; year-end net cash was $468M.

• A $275M–$295M non-cash impairment was recognised against the exploration portfolio.

Outlook and guidance

• Greenbushes FY25 spodumene production guidance is 1,350–1,550kt, with cash costs of $320–$380/t.

• Nova FY25 nickel production guidance is 16,000–18,000t, with cash costs of $4.80–$5.80/lb.

• Forrestania is to enter care and maintenance in 1Q25; no FY25 guidance was provided.

• Kwinana Train 1 major shutdown planned for 2Q25, with $80M–$100M in capital spend to improve performance.

• FY25 exploration budget is $50M–$60M, with activity expected to ramp down and focus on core commodities.