Liontown (LTR) Q3 2025 earnings summary

Executive summary

• Achieved record quarterly production and sales, with 95,709 dmt of spodumene concentrate produced and 93,940 dmt sold, up 12% and 15% respectively compared to the previous quarter.

• Commercial production declared at the processing plant; underground production commenced on schedule, supporting increased sales volumes and lower operating costs.

• Maintained a robust cash balance of A$173 million at quarter end, with positive net operating cash flow for the second consecutive quarter.

• Continued improvement in plant performance, with lithia recovery increasing to 64% and mill availability averaging 91%.

• Strong ESG performance, with 80% renewable power usage and a 22% female workforce.

Financial highlights

• Quarterly revenue reached A$104 million, a 17% increase from the previous quarter, with an average realised price of US$815/dmt SC6e.

• Net cash from operating activities was A$14 million, driven by higher sales volumes and lower operating costs.

• Unit operating costs (FOB) decreased 18% to A$816/dmt SC6e sold; AISC fell 8% to A$1,081/dmt SC6e.

• Net revenue from tantalite sales was A$0.9 million for the quarter.

• Realised A$60 million in cost savings and deferrals by 31 March 2025.

Outlook and guidance

• Guidance remains unchanged, with costs expected at the upper end of the range due to ore sorting and stockpile drawdown in Q4.

• On track to achieve 70% lithia recovery target by Q3 FY26, supported by ongoing optimisation initiatives.

• Transition to 100% underground ore processing expected by September 2026, with open pit mining on track for completion in Q3 FY26.

• FY2026 anticipated as a transition year with higher operating costs, but CapEx expected to stabilize as development completes.

• Healthy cash balance projected through June and into FY2026, even under current spot pricing assumptions.