Hot Chili (HCH) H2 2026 earnings summary

Executive summary

• La Verde copper-gold discovery advanced to cornerstone asset status, with drilling expanding mineralisation to 800m depth and defining a high-grade near-surface zone for a potential starter pit.

• Over AUD $75 million in new funding secured, including A$14.1M entitlement offer, A$40M private placement, and US$15M royalty funding, resulting in a cash position of A$46M and no debt post-year end.

• Dedicated project development team established, transitioning from exploration to project delivery, and advancing permitting and feasibility studies for Costa Fuego.

• Environmental Impact Assessments for both Huasco Water and Costa Fuego projects progressed, with submissions scheduled for late 2026 and Q2 2027, respectively.

Financial highlights

• Net loss after tax for FY2026 was $10.1M, an improvement from $11.1M in FY2025.

• Total income was $443K, with total expenses of $11.0M, including $1.8M in share-based payments.

• Cash and cash equivalents at 30 June 2026 were $24.9M, rising to ~$46M post-year end with royalty funding.

• Exploration and evaluation expenditure capitalised increased to $262.5M (from $235.8M in FY2025).

• No dividends declared or paid.

Outlook and guidance

• Maiden Mineral Resource Estimate for La Verde expected in late 2026, followed by a revised Pre-Feasibility Study for Costa Fuego.

• Formal submission of Environmental Impact Assessments for Huasco Water and Costa Fuego planned for late 2026 and Q2 2027.

• Continued drilling and exploration at La Verde and regional consolidation opportunities targeted.

• Strategic Partnering Process ongoing, with multiple parties in due diligence.