Liontown (LTR) H1 2026 earnings summary

Executive summary

• Transition to 100% underground mining at Kathleen Valley completed, marking a major operational milestone and inflection point, with open pit mining finished in December 2025.

• Revenue for H1 FY2026 reached $208 million, more than doubling year-over-year, reflecting ramp-up and higher sales.

• Statutory loss of $184 million, driven by a $104 million non-cash derivative charge, high depreciation, and ramp-up costs.

• Cash balance increased to $390 million at period end, supported by equity raising and LGES note conversion, which removed $482 million in liabilities.

• Expansion studies, including a 4 Mtpa brownfields expansion, are underway to leverage market tailwinds and support future growth.

Financial highlights

• Revenue increased 107% year-over-year to $208 million, driven by higher sales volumes and improved realized prices.

• Realized price averaged US$888/t SC6, up 18% period-over-period.

• Underlying EBITDA loss of $8 million, impacted by subdued prices and higher unit costs during ramp-up.

• Statutory net loss after tax of $184 million, mainly due to non-cash derivative revaluation and higher D&A.

• Cash and cash equivalents increased to $390 million as of 31 December 2025.

Outlook and guidance

• Ramp-up to 1.5 Mtpa on track for end of current quarter, targeting 2.8 Mtpa by end FY2027 and 4 Mtpa pending board approval in Q1 FY2027.

• Lithia recovery target of 70% expected in Q4 FY2026, with recoveries and realized prices anticipated to rise.

• Declaration of commercial production for the underground mine anticipated in H2 FY2026, potentially triggering deferred tax asset recognition.

• Unit costs expected to trend lower as scale increases and higher grade ore is processed.