OM (OMH) H2 2025 earnings summary

Executive summary

• Full-year revenue for FY2025 was US$636.3 million, a 3% decline year-over-year due to weaker prices and subdued global demand for ferrosilicon and manganese alloys.

• EBITDA totaled US$50.7 million, down from US$76.0 million in FY2024, with profit after tax to shareholders at US$2.3 million, a decrease from FY2024 but an improvement over the first half of 2025.

• Profit per share dropped to 0.31 US cents from 1.22 US cents in the prior year.

• The Tshipi asset disposal was completed, with proceeds received and a special dividend of AUD 0.01 per share declared.

• Operational resilience was demonstrated through increased sales volumes and lower unit costs despite challenging market conditions.

Financial highlights

• Revenue declined 3% year-over-year despite a 6% increase in traded volumes for ores and alloys.

• Gross profit margin declined to 9.8% from 17.3% in FY2024.

• Loan repayments totaled US$182.8 million, up from US$66.1 million in FY2024.

• Cash and cash equivalents at year-end stood at US$13.2 million.

• Total borrowings decreased to US$213.1 million from US$219.7 million at the previous year-end.

Outlook and guidance

• Production guidance for FY2026 is set at 450-470 ktpa for FeSi and Mn alloys, with manganese output expected to remain stable and ferrosilicon production modestly reduced.

• Commercial production of silicon metal remains contingent on a strategic review.

• Focus remains on disciplined operations and strategic raw material procurement to position for improved performance when market conditions recover.

• Optimism on market pricing persists as competitor production cuts continue.