MinRes posts strongest full-year financials yet

The group’s underlying net profit after tax increased by 831% year-on-year to $822-million, while it generated significant free cashflow of $849-million, in the year ended June 30.

MinRes declared a full-year dividend of $0.83 apiece, representing a 20% underlying net profit after tax payout ratio.

The group reduced its net debt by $1.1-billion to $4.3-billion in the year under review, which reduces its net debt-to-underlying Ebitda margin from 5.9 times in the prior year to 1.7 times in the reporting year.

Group attributable iron-ore production was 341-million tonnes in the reporting year, accounting for $689-million of underlying Ebitda, while lithium production was 34.4-million tonnes, accounting for $289-million of underlying Ebitda.

Overall, mining services underlying Ebitda reached $976-million owing to record volumes, with iron-ore remaining the largest contributor.

Record volumes across all divisions and improved commodity prices supported record revenue of $6.5-billion for the group, which marked a 44% year-on-year increase.

For chairperson Mal Bundey, the year was one of meaningful progress on balance sheet priorities and governance, which, coupled with years of strategic investment, resulted in record financial and operational results.

MD Chris Ellison points out that the Onslow Iron operation achieved nameplate capacity of 35-million tonnes a year in August 2025, just three years after a final investment decision on the project was reached. The company plans to operate Onslow beyond nameplate capacity, to restart the Bald Hill lithium operation and ramp it up to nameplate capacity, as well as increase volumes at the Mt Marion lithium mine through a new flotation plant and underground mining in the new financial year.

“The arrival of transhippers six and seven has increased Onslow’s installed capacity towards 40-million tonnes a year and ensures sufficient redundancy as we rotate the fleet through maintenance.

“Further, following years of investment to improve plant recoveries and reduce costs, our three lithium assets are well placed to capitalise on improved prices as demand is driven by energy storage and the transition to electric vehicles,” Ellison explains.

At the Wodgina lithium operation, after several years of increased stripping, MinRes expects clean ore to feed all three trains from the second quarter of the 2027 financial year and to increase sales volumes by between 14% and 23%.

“Our priorities for the 2027 financial year are to achieve guidance across all divisions, execute low-risk, high-return brownfield investments, continue to strengthen the balance sheet and ensure MinRes is positioned for a next phase of growth within its significantly improved governance frameworks and capital allocation model,” Ellison states.

MinRes has set its 2027 financial year guidance at between 370-million and 390-million tonnes for the mining services division, which includes attributable iron-ore and lithium production.