Yancoal Australia (YAL) Q4 2025 earnings summary

Executive summary

• Achieved record annual attributable saleable coal production of 38.6 million tonnes, at the top end of guidance, with a record quarterly production of 10.4 million tonnes in Q4 2025.

• Attributable coal sales reached 10.8 million tonnes in Q4 2025, exceeding production as sales and stockpiles were optimized.

• All mines contributed to a 20% quarter-over-quarter increase in ROM coal production, with saleable coal up 11% sequentially.

• Safety performance improved, with a total recordable injury frequency rate of 6.14, below the industry average.

• Ended the year with a cash balance of $2.13 billion, up $307 million from the previous quarter.

Financial highlights

• Average realized coal price in Q4 2025 was AUD 148 per ton, up 6% quarter-over-quarter but down 16% year-over-year.

• Cash operating costs for 2025 expected to be around the midpoint of the AUD 89–97 per ton guidance.

• Attributable capital expenditure for 2025 anticipated at the lower end of the AUD 750–900 million guidance range.

• Free cash flow for Q4, adjusted for Moolarben payment, annualizes to AUD 1.3 billion, implying an 18% yield.

• No interest-bearing debt on the balance sheet.

Outlook and guidance

• 2025 operational guidance delivered: 38.6 million tonnes attributable saleable production, near the top of the 35–39 million tonne range.

• Positive operational momentum expected to continue into 2026.

• 2026 production, cost, and capex guidance to be provided with full-year financial results in February.

• Dividend and capital management decisions to be reviewed post-year-end, following a framework of 50% NPAT or free cash flow payout, whichever is higher.

• Strong financial position supports consideration of dividends and value-adding growth opportunities.