PYX Resources (PYX) H2 2024 earnings summary

Executive summary

• 2024 marked a transformative year with the start of rutile and ilmenite exports, but operational challenges led to a disappointing second half after a strong first half with positive EBITDA.

• Total sales volume increased 46% YoY to 16,560 tonnes, driven by new export licenses for ilmenite and rutile, despite a 55% YoY reduction in total production due to heavy rains and infrastructure issues.

• Revenue declined 59% YoY to US$9.3m, reflecting lower mineral sands prices and a shift in product mix toward lower-priced ilmenite.

• The company maintained a strong cash position of US$5.0m at year-end and remained debt-free.

Financial highlights

• Sales revenue fell to US$9.3m from US$22.7m YoY, while EBITDA improved to -US$5.5m from -US$10.0m YoY.

• Net loss after tax was US$5.4m, a 48% improvement YoY.

• Total assets stood at US$88.0m, with total liabilities at US$9.5m.

• Cash and cash equivalents at year-end were US$5.0m.

• Finished goods inventory reduced to 6 days from 17 days YoY.

Outlook and guidance

• Long-term demand for zircon and titanium dioxide remains robust, driven by clean energy transition and industrial innovation.

• Market expects continued pressure on zircon prices in 2025 due to oversupply, but long-term CAGR for zircon demand is projected at 2.6–2.7%.

• The company aims to achieve net carbon neutrality by 2040 and is investing in sustainable energy solutions.