Jubilee Metals (JLP) H1 2025 earnings summary

Executive summary

• Group revenue rose 51% year-over-year to $141.5 million in H1 FY2025, driven by record chrome production despite a sharp decline in chrome prices and power disruptions in Zambia.

• EBITDA declined 6.8% to $13.6 million, reflecting margin pressures from lower chrome prices and increased costs.

• South African operations are mature with capital expenditure largely completed, while Zambian copper projects faced power-related challenges but have implemented distributed private power agreements.

• Strategic partnerships, infrastructure investments, and modular expansion in Zambia and South Africa position the group for future copper and chrome growth.

• Profit after tax fell 54.4% to $2.5 million, impacted by power outages in Zambia, higher copper costs, and lower PGM production.

Financial highlights

• Chrome revenue surged 75.9% year-over-year to $114.5 million, contributing 80.9% of group revenue.

• Copper revenue increased 5.1% to $8.3 million, but copper EBITDA fell 120.4% to a loss of $0.75 million due to power disruptions and a one-off contractual adjustment.

• PGM revenue declined 9.3% to $18.8 million, with PGM EBITDA up 34.2% to $13.5 million and gross profit up 45.1% to $7.4 million due to lower costs.

• Group gross profit margin declined to 14.7% from 18.7% year-over-year.

• Cash at period end was $8.4 million, down from $19.3 million at June 2024.

Outlook and guidance

• Chrome and PGM production are on track to meet FY2025 guidance of 1.65Mt and 36,000oz, respectively.

• Copper production guidance remains under review pending results from high-grade feed processing at Roan, with an update expected by end of April 2025.

• Sable Refinery expansion in Zambia is on track for completion by Q4 2025, with upgrade to 16,000tpa copper expected by Q2 FY26.

• Focus for H2: restore Zambia operations post-power disruptions, expand copper output, and complete Sable upgrade.