Stanmore Resources (SMR) H1 2026 earnings summary

Executive summary

• Production remained steady year-over-year at 6.5Mt despite challenging weather, with operational recovery in Q2 and strong results at Poitrel and Isaac Plains Complex; South Walker Creek achieved record monthly ROM production in March.

• Underlying EBITDA rose to $174.1m, up from $147m, driven by higher realised coal prices and operational improvements.

• Net operating cash flow increased to $176m, supporting a strengthened balance sheet and positive free cash flow.

• Net loss after tax improved to $44.2m from $50.5m, reflecting stronger pricing and partially offset by increased costs and lower volumes.

• Safety performance remained strong, with a Serious Accident Frequency Rate of 0.51, well below the industry average.

Financial highlights

• Revenue increased 13% year-over-year to $978m, with average realised coal price up to $153/t.

• Sellable production reached 6.5Mt, matching the prior year.

• Underlying EBITDA margin improved due to higher sales prices and operational efficiencies.

• FOB cash costs were $101/t, up from $89/t, mainly due to FX, inflation, and higher diesel prices.

• Net debt reduced to $72m at June 2026, reflecting positive cash flow and refinancing.

Outlook and guidance

• Full-year guidance reaffirmed; saleable production expected at the top end of 12.8–13.4Mt and FOB cash costs within $98–103/t.

• Capital expenditure for the half was $39m, with full-year guidance of $85–95m; H2 capex to ramp up for strategic projects.

• Second-half production expected to be stronger, supported by pit preparation and strong inventories.