Exxaro Resources (EXX) H2 2025 earnings summary

Executive summary

• Achieved 40 consecutive fatality-free months, with Group LTIFR improving 33% to 0.04 and coal LTIFR improving 50% to 0.03 as of 31 December 2025.

• Stabilized operations after a challenging start, with robust coal and renewable energy performance and successful integration of new assets.

• Completed major strategic milestones: doubled renewable energy capacity, entered manganese production, and executed key divestments.

• Maintained strong stakeholder engagement, inclusive culture, and significant social investment, with 91% of employees from historically disadvantaged backgrounds.

• Declared 46th consecutive dividend, totaling ZAR 18.43 per share (ZAR 6.3bn) for FY25.

Financial highlights

• Revenue increased 3% year-over-year to ZAR 41.8 billion, despite a 14% drop in export coal prices.

• EBITDA declined 2% to ZAR 10.2 billion; headline earnings per share up 8% to ZAR 32.47.

• Net cash rose 8% to ZAR 17.6 billion; headline earnings up 16% to ZAR 7.7 billion.

• Total dividend for 2025 declared at ZAR 18.43 per share, totaling ZAR 6.3 billion returned to shareholders.

• Share repurchase program completed, reducing shares in issue from 242 million to 238 million.

Outlook and guidance

• Coal sustaining CapEx guided at ZAR 4–4.5 billion, mainly for equipment replacement at Grootegeluk.

• Coal production sales expected between 39.4–42.8 million tons; export sales guidance at 7.3–8 million tons.

• Energy generation guidance raised to 1,050–1,150 GWh, driven by new solar and wind assets.

• Ongoing geopolitical risks (e.g., Middle East conflict) may impact logistics and fuel costs, but higher coal prices could offset some pressures.