IGO (IGO) Q4 2026 earnings summary

Executive summary

• FY26 ended with strong operational and safety momentum, with Nova exceeding life of mine production guidance and Greenbushes delivering higher production, strong pricing, and an 80% EBITDA margin despite a fire at CGP3.

• Group safety performance improved significantly, with TRIFR reduced by 63% year-over-year to 3.7 and over 200 days recordable injury free.

• Announced divestment of Nova to Global Lithium, effective post-mining in the December quarter 2026, with closure planning and stakeholder engagement underway.

• Focus for FY27 is on safe, profitable production and ramp-down at Nova, and continued optimisation at Greenbushes.

• Portfolio optimisation ongoing, including Cosmos Project evaluation and Copper Wolf JV acquisition.

Financial highlights

• Group sales revenue rose 18% to AUD 141 million for 4Q26, driven by higher copper sales volumes and prices at Nova.

• Underlying EBITDA for the quarter was AUD 118 million (or $117.8M), and AUD 286 million for the full year.

• Net cash increased 18% to AUD 387 million at year-end, with underlying free cash flow nearly doubling to AUD 70 million for the quarter and AUD 134 million for the year.

• Share of net profit from TLEA (Greenbushes JV) increased 38% to AUD 121 million, reflecting strong spodumene prices and 80% EBITDA margin at Greenbushes.

• Windfield resumed distributions with a dividend of AUD 390 million declared on a 100% basis.

Outlook and guidance

• Nova life of mine guidance upgraded to 19,000–20,000 tonnes of nickel production, with cash costs of AUD 4.25–5.00/lb through FY 2026 and FY 2027.

• Greenbushes FY27 guidance: spodumene production of 1,550,000–1,750,000 tons (SC6 basis), cash costs of AUD 380–440/ton, and CapEx of AUD 250–300 million.

• Kwinana FY27 guidance: lithium hydroxide production of 9,000–11,000 tons, conversion costs of AUD 16,000–18,000/ton, and sustaining CapEx of AUD 75–90 million.

• Exploration budget for FY27 set at AUD 35–40 million, with a focus on copper and selective lithium targets.