PLS Group (PLS) H1 2025 earnings summary

Executive summary

• Achieved record production of 408,000–408,300 tons of spodumene concentrate in H1 FY25, up 28% year-over-year, with sales volumes rising 37% to 418,600–419,000 tons, despite a six-day disruption from Cyclone Zelia.

• Revenue declined 44% year-over-year to $425.7–$426 million due to a 58% drop in average realized lithium prices, partially offset by higher sales volumes.

• Statutory loss after tax was $69–$69.4 million, compared to a profit in the prior period, reflecting lower prices and increased expenses from growth projects.

• Maintained a strong cash position of $1.17–$1.2 billion as of 31 December 2024, despite significant capital expenditure and market headwinds.

• No interim dividend declared to preserve balance sheet strength.

Financial highlights

• Underlying EBITDA was $74 million, down 83% year-over-year, with margin dropping to 17% from 57%.

• EBITDA was $48 million, down from $424 million in H1 FY24.

• Operating costs (excluding depreciation) rose 10% to $303 million, supporting higher production.

• Cash margin from operations was $41–$41.2 million, down 92% year-over-year.

• Net cash position at $796 million, with $625 million undrawn liquidity.

Outlook and guidance

• FY25 production guidance unchanged; H2 production expected to be weighted toward the June quarter as P1000 ramps up.

• Anticipates improved unit cost and margin expansion in FY26 as new facilities reach steady state.

• Further investment in Latin Resources (Colina Project) and other projects will be paced to market conditions, with $45–$50 million total cash cost expected in H2 FY25.

• Guidance subject to risks from inflation, project ramp-up, and market volatility.