Lithium Argentina (LAR) Q4 2025 earnings summary

Executive summary

• Achieved record operational performance at Cauchari-Olaroz, producing 34,100 tonnes LCE in 2025 and reaching 97% of capacity in Q4, among the lowest global costs for lithium chemical production.

• Distributed $85 million in cash post year-end and secured a $130 million six-year loan facility, strengthening the balance sheet.

• Advanced growth pipeline with consolidation of PPG, submission of RIGI applications for both PPG and Stage 2, and Stage 2 expansion plans.

• Updated resource and reserve estimate increased measured and indicated resources by 42%, positioning assets among the largest globally.

• Focus for 2026 is on expanding Cauchari-Olaroz and advancing the PPG project, targeting significant growth in lithium chemical supply.

Financial highlights

• FY 2025 revenue reached $272 million, with Q4 revenue at $92 million and average realized price of $9,049 per tonne.

• FY 2025 adjusted EBITDA was $56 million; Q4 adjusted EBITDA was $30 million.

• Q4 operating cash costs declined to $5,600 per tonne, a 30% reduction from Q1 2024; FY 2025 cash costs per tonne sold were $6,108.

• Long-term cost estimate at full capacity revised down to $5,400 per tonne, a 17% decrease from prior guidance.

• Cash and cash equivalents at year-end 2025 were $61 million; cash position increased to around $95 million in Q1 2026.

Outlook and guidance

• 2026 production guidance set at 35,000–40,000 tonnes of lithium carbonate.

• Stage 2 expansion at Cauchari-Olaroz aims to add 45,000 tpa LCE capacity, with completion expected mid-2026.

• PPG project targets 150,000 tpa LCE production across three phases, with a recent scoping study showing an after-tax NPV8% of $8.1 billion and IRR of 33% at $18,000/tonne.

• Sustaining capital requirements expected at $15–20 million per year.

• 2026 adjusted EBITDA outlook ranges from ~$325 million to ~$590 million depending on lithium prices.