Sandfire Resources (SFR) H2 2025 earnings summary

Executive summary

• Achieved record operating and financial results for FY 2025, including a return to statutory profitability with profit after tax of $90M and robust cost performance across operations.

• Group copper equivalent production increased 12% to 152,000–152,400 tonnes, finishing within 1% of annual guidance despite external challenges.

• Safety performance remained strong, with TRIFR at 1.7 and zero high consequence injuries, though recordable injuries increased slightly.

• Net debt reduced by 69% to $123M, transforming the balance sheet and establishing a $650M Corporate Revolver Facility for enhanced financial flexibility.

• Sustainability initiatives included sourcing over 70% of electricity from renewables and increasing female representation to 26%.

Financial highlights

• Record sales revenue of $1.18 billion, up 26% year-over-year.

• Underlying EBITDA rose 46% to $528 million, with a margin of 45%; Underlying Operations EBITDA reached $610 million, up 45%, with a 52% margin.

• Underlying profit reached $111 million; statutory profit was $90 million.

• Operating cash flow increased 55% to $575 million.

• Net debt reduced by $273 million to $123 million, with $111 million in cash and $416 million undrawn under the CRF.

Outlook and guidance

• FY 2026 copper equivalent production expected to rise 2% to 157,000 tonnes, with production skewed to the second half.

• Motheo production to maintain ~60,000 tonnes per year through FY 2030.

• MATSA unit costs expected to increase 10% to $86/tonne (mainly FX-driven); Motheo unit costs to rise 10% to $44/tonne.

• Exploration and evaluation expense to increase by $6 million to $46 million in FY 2026.

• Capital expenditure forecast to rise to $230 million in FY 2026, up 11% year-over-year, with major projects including a new TSF at MATSA.