Vulcan Energy Resources (VUL) H1 2026 earnings summary

Executive summary

• Achieved financial close on €2.2bn Lionheart Project financing, enabling access to strategic equity and debt funding for integrated lithium and geothermal energy development in Germany's Upper Rhine Valley.

• Construction commenced at both the lithium chemical plant in Frankfurt and the geothermal-lithium extraction plant in Landau, with key milestones including successful drilling of new wells and major procurement contracts awarded.

• Net loss after tax increased to €51.8m (June 2025: €30.7m), impacted by higher finance costs, depreciation, and a €12.7m foreign exchange loss.

• Revenues declined to €2.3m (June 2025: €4.1m), primarily from electricity sales and drilling services.

• No lost time injuries recorded, with health and safety protocols maintained as a priority.

Financial highlights

• Net loss after tax: €51.8m (June 2025: €30.7m), including €11.8m finance costs and €10.0m depreciation/amortisation.

• Revenue: €2.3m (June 2025: €4.1m), mainly from electricity sales (€1.7m) and drilling services.

• Cash and deposits (accessible after 90 days): €273.9m at 30 June 2026 (Dec 2025: €517.8m).

• Capital expenditure outflows: €168.0m, focused on Lionheart Project construction and procurement.

• Net assets: €825.5m (Dec 2025: €856.9m).

Outlook and guidance

• Lionheart Project remains on schedule, with further equity contributions and first debt drawdown expected in Q1 2027.

• Project Ludwig, the next phase, targets integrated lithium chemical and renewable heat production with improved capital efficiency.

• Management forecasts sufficient liquidity and funding to meet obligations, with contingency measures available if needed.