Sandfire Resources (SFR) Q4 2026 earnings summary

Executive summary

• Achieved record quarterly financial and operational results, with Group copper equivalent production up 38% in Q4 FY26 to 47.6kt and annual output of 154,200 tonnes, exceeding guidance.

• Motheo delivered a 65% increase in quarterly copper equivalent production, with annual output of 59,700 tonnes, driven by higher grade A4 open pit and record mill throughput of 7.1Mtpa.

• MATSA achieved record annualised throughput of 4.8Mt in Q4 FY26, supporting a 22% increase in copper equivalent production to 26.5kt and annual output of 94,500 tonnes.

• Record quarterly sales revenue of $574 million and Underlying EBITDA of $343 million in Q4 FY26, with net cash rising by $277 million to $353 million at period end.

• Safety performance improved with TRIF at 1.6, but one fatality and three high-potential incidents occurred.

Financial highlights

• Group sales revenue reached $574 million for the quarter, with Underlying EBITDA of $343 million and a margin of 60%.

• Unaudited net cash at period end was $353 million, up $277 million during the quarter, improving from $123 million net debt a year earlier.

• FY26 Underlying EBITDA expected at $867 million; Underlying Earnings about $5 million lower than statutory profit due to adjustments.

• MATSA Underlying Operating Cost rose 14% YoY to $403 million; Motheo's rose 27% YoY to $282 million.

• Motheo's temporary Q4 cost increase to $54/tonne was offset by a 28% decrease in implied C1 unit cost to $0.70/lb.

Outlook and guidance

• FY 2027 copper equivalent production guidance set at 150,000–166,000 tonnes, with only incremental unit cost increases expected at Motheo and MATSA.

• Capital investment expected to increase by about one-third in FY27 to support drilling in South Australia, T3 open-pit cutback in Botswana, and new tailings dam in Spain.

• Production profiles at both assets expected to be even across quarters, with major shutdowns at Motheo planned for Q2 and Q4.

• Ongoing focus on exploration and resource/reserve updates, with more details to be provided in August.

• Diesel prices assumed to remain elevated in H1 FY27, with normalization expected thereafter.