Elevra Lithium (SYA) H1 2025 earnings summary

Executive summary

• Spodumene concentrate production increased 57% year-over-year to 103,063 dmt, with sales up 59% to 115,027 dmt, driven by operational efficiencies at NAL.

• Revenue rose 3% to AUD 122 million (USD 121.9 million), supported by higher sales volumes despite a 35% decline in realized selling prices.

• Net loss after tax widened to AUD 63.7 million, impacted by high-cost inventory sales, lower lithium prices, and merger-related costs.

• Cash balance at period end was AUD 110 million, up 22%, supported by a successful AUD 38 million capital raise and improved operating cash flows.

• Strategic merger with Piedmont Lithium announced, expected to close mid-2025, creating a leading North American lithium producer.

Financial highlights

• Underlying EBITDA loss for H1 FY25 was AUD 37 million, compared to a profit in the prior year, due to high-cost inventory sales and lower prices.

• Operating cash flows were AUD 19 million, up 158% year-over-year, aided by customer prepayments.

• Unit production costs fell 42% year-on-year to AUD 1,102/dmt; unit cost sold was AUD 1,303/dmt.

• Loss after income tax: AUD 63.7 million, nearly double the prior year.

• Net tangible assets per security: AUD 0.07, down from AUD 0.08 at June 2024.

Outlook and guidance

• FY25 guidance reaffirmed: spodumene concentrate production of 190,000–210,000 dmt and sales of 200,000–230,000 dmt.

• Unit operating costs expected at AUD 1,150–1,300/dmt; capital expenditure guidance of ~AUD 20 million and exploration expenditure of ~AUD 30 million.

• Shipping volumes weighted to Q4 to capture higher forward sales prices.

• Merger with Piedmont Lithium expected to close mid-2025, subject to regulatory and shareholder approvals.