Sandfire Resources Stock Earnings Reports

Sandfire Resources delivered a strong FY'25 with record sales revenue of $1.18bn and underlying EBITDA of $528m (45% margin). Group copper-equivalent production rose 12% to 152,000 t (within 1% of guidance) while MATSA and Motheo unit costs remained competitive ($78/t and $40/t respectively) producing margin expansion (MATSA 45%, Motheo 60%). Net debt fell by $273m (69%) to $123m and management expects to reach a net-cash position during FY'26. No dividend was declared for FY'25 while a formal capital management framework now guides future returns (dividends or buybacks) once net cash is achieved. FY'26 outlook: production is guided to ~157,000 t Cu-eq (c.2% growth) but skewed to H1 (about 48% of full year in H1; Q1 c.45% of H1 metal); unit costs are expected to rise ~10% to $86/t at MATSA (USD conversion impact) and to $44/t at Motheo (A4 ramp, haulage, power tariff). Group capex ~ $230m in FY'26 (including MATSA TSF ~$25m and Motheo infill/PFS ~$9m). Exploration/expenditure will increase modestly (~$6m) with programs focused on Iberian Pyrite and Kalahari belts; Motheo A1 reserve work expected late-Q2 next calendar year. Black Butte PFS due Dec quarter (calendar year) to refine project economics and options.