Company Reports

Mineral Resources reported a sharp turnaround in fiscal 2026 underlying net profit after tax to a record AUD 707 million against the AUD 198 million loss a year ago. Net debt fell 20% to AUD 4.3 billion, with net debt/EBITDA declining to 1.5 from 5.9. But shares fell 2% on Aug. 27.

Mineral Resources grew significantly following its listing on the Australian Securities Exchange in 2006. Demand for crushing and screening services grew strongly with iron ore output from the major Western Australian iron ore miners. Cost inflation encouraged large mining companies to outsource capital-intensive, lower-returning processes. The miner also rapidly expanded its own iron ore mining business, though lacking the integrated rail and port infrastructure of major competitors and at a competitive disadvantage, albeit reduced after construction of the lower-cost Onslow mine. More recent diversification into lithium production at Mt Marion and Wodgina delivered earnings momentum.

Mineral Resources met or exceeded fiscal 2026 volume and cost guidance across all business segments, including record annual volumes for mining services, iron ore, and lithium. Net debt fell 20% across the fiscal year to AUD 4.3 billion, with net debt/EBITDA declining to 1.5 from 5.9.

Mineral Resources grew significantly following listing on the Australian Securities Exchange in 2006. Demand for crushing and screening services grew strongly with iron ore output from the major Western Australian iron ore miners. Cost inflation encouraged large mining companies to outsource capital-intensive, lower-returning processes. The miner also rapidly expanded its own iron ore mining business, though lacking the integrated rail and port infrastructure of major competitors and at a competitive disadvantage, albeit reduced after construction of the lower-cost Onslow mine. More recent diversification into lithium production at Mt Marion and Wodgina delivered earnings momentum.

The iron ore price continues to trade in a narrow range, with spot of around USD 100 per metric ton flat on a quarter ago as Chinese imports remain strong despite falling steel production. The copper price is also broadly unchanged, trading around USD 6 per pound, near historical highs.

Mineral Resources grew significantly following listing on the Australian Securities Exchange in 2006. Demand for crushing and screening services grew strongly with iron ore output from the major Western Australian iron ore miners. Cost inflation encouraged large mining companies to outsource capital-intensive, lower-returning processes. The miner also rapidly expanded its own iron ore mining business, though lacking the integrated rail and port infrastructure of major competitors and at a competitive disadvantage, albeit reduced after construction of the lower-cost Onslow mine. More recent diversification into lithium production at Mt Marion and Wodgina delivered earnings momentum.

Mineral Resources, or MinRes, reported sequential third-quarter fiscal 2026 volume declines of 6% in mining services, 14% in iron ore shipments, and 20% in lithium sales. Revenue fell only 3% with higher pricing countering cyclone impacts.

The iron ore price is broadly flat compared with last quarter. While China's steel production in the first quarter of 2026 is down 5% year on year to about 250 million metric tons, its iron ore imports are up 11% to around 315 million metric tons.

Mineral Resources grew significantly following listing on the Australian Securities Exchange in 2006. Demand for crushing and screening services grew strongly with iron ore output from the major Western Australian iron ore miners. Cost inflation encouraged large mining companies to outsource capital-intensive, lower-returning processes. The miner also rapidly expanded its own iron ore mining business, though lacking the integrated rail and port infrastructure of major competitors and at a competitive disadvantage, albeit reduced after construction of the lower-cost Onslow mine. More recent diversification into lithium production at Mt Marion and Wodgina delivered earnings momentum.

Iron ore/lithium miner and mining services firm Mineral Resources returned to profit in the first half of fiscal 2026, with underlying net profit after tax of AUD 265 million (previous corresponding period: AUD 198 million loss). Higher prices and ramp-up of Onslow underpinned. Shares fell 4%.

Mineral Resources either improved or maintained guidance for key fiscal 2026 metrics. Operating costs for the Onslow iron ore mine are expected to be at the bottom end of the previously provided range, while lithium production guidance for Wodgina and Mt Marion now exceeds prior estimates.

Mineral Resources grew significantly following listing on the Australian Securities Exchange in 2006. Demand for crushing and screening services grew strongly with iron ore output from the major Western Australian iron ore miners. Cost inflation encouraged large mining companies to outsource capital-intensive, lower-returning processes. The miner also rapidly expanded its own iron ore mining business, though lacking the integrated rail and port infrastructure of major competitors and at a competitive disadvantage, albeit reduced after construction of the lower-cost Onslow mine. More recent diversification into lithium production at Mt Marion and Wodgina delivered earnings momentum.

Mineral Resources will sell 30% of its 50% stakes in the Mt Marion and Wodgina lithium mines for USD 765 million (AUD 1.2 billion) to Korean conglomerate Posco. This will leave it with 35% equity interest in the mines. The wholly owned Bald Hill lithium mine and gold tenements aren't included.

Mineral Resources grew significantly following listing on the Australian Securities Exchange in 2006. Demand for crushing and screening services grew strongly with iron ore output from the major Western Australian iron ore miners. Cost inflation encouraged large mining companies to outsource capital-intensive, lower-returning processes. The miner also rapidly expanded its own iron ore mining business, though lacking the integrated rail and port infrastructure of major competitors and at a competitive disadvantage, albeit reduced after construction of the lower-cost Onslow mine. More recent diversification into lithium production at Mt Marion and Wodgina delivered earnings momentum.

The iron ore price has shrugged off re-escalation of the trade war between the United States and China, though copper is down moderately in response. Both are up about 10% since the last quarterly update of our assumed commodity prices.

Mineral Resources reported a 171% fall in fiscal 2025 underlying NPAT to negative AUD 120 million. A halving in lithium and a 15% decline in iron ore prices led to a rout for mining. EBITDA fell 64% to AUD 279 million. Mining services was better, with EBITDA up 34% to AUD 737 million.

Mineral Resources grew significantly following listing on the Australian Securities Exchange in 2006. Demand for crushing and screening services grew strongly with iron ore output from the major Western Australian iron ore miners. Cost inflation encouraged large mining companies to outsource capital-intensive, lower-returning processes. Mineral Resources also rapidly expanded its own iron ore mining business, though lacking the integrated rail and port infrastructure of major competitors and at a competitive disadvantage. More recent diversification into lithium production at Mt Marion and the Wodgina mine delivered earnings momentum.

Mineral Resources grew significantly following listing on the Australian Securities Exchange in 2006. Demand for crushing and screening services grew strongly with iron ore output from the major Western Australian iron ore miners. Cost inflation encouraged large mining companies to outsource capital-intensive, lower-returning processes. Mineral Resources also rapidly expanded its own iron ore mining business, though lacking the integrated rail and port infrastructure of major competitors and at a competitive disadvantage. More recent diversification into lithium production at Mt Marion and the Wodgina mine delivered earnings momentum.

Mineral Resources achieved fiscal 2025 guidance for volumes and costs across all business segments after a solid fourth-quarter performance. Net debt was marginally reduced against the third quarter, to AUD 5.35 billion.

Shares of our iron ore, base metals, coal, and mineral sands miners have risen on last quarter after the shock of April 2, 2025 tariffs. With China driving demand for most commodities, investors appear to have concluded that tariffs wont materially weaken growth and commodity demand.