Sigma Lithium (SGML) Q2 2026 earnings summary

Executive summary

• Achieved record operational and financial performance in Q2 2026, surpassing all targets and maintaining industry-leading safety standards with over 1,100 days without accidents or lost time injury.

• Demonstrated strong ESG credentials, 100% renewable energy use, zero tailings dams, and ongoing fleet upgrades and mine primarization.

• Achieved record profitability with a 47% EBITDA margin, up from 39% in Q1 26, and a gross margin of 60%.

• Surpassed all production and financial targets for 2Q26, with significant increases in production and revenues.

Financial highlights

• Generated $27 million in cash from operations in H1 2026; Q2 net revenues reached a record $55 million, with a 52% increase in lithium oxide concentrate production to 35,400 tons.

• Maintained a 60% gross margin, achieved a record 47% EBITDA margin, and operating margin of 32%.

• Realized price per tonne increased to $2,089, up 17% from Q1 26.

• All-in sustaining cost reduced to $668/ton, with plant gate cost at $401/t and CIF at $452/t, down over 30% year-over-year.

• Repaid 25% of total debt in the last year and 43% over two years, reducing net debt to $125 million by Q2 26.

Outlook and guidance

• On track to deliver $620/ton all-in cash costs in 2027 as production volumes increase.

• Production forecast for Plant 1 is 240,000 tons/year, rising to 330,000 tons/year by end of 2027, and 580,000 tons/year by end of 2027, reaching 830,000 tons/year by end of 2028 with two additional plants.

• Cash flow projections for 2027 range from $360 million to $500 million depending on lithium prices.

• Production expansion remains on track, with forecasts advanced by a quarter and construction of the next plant pushed to end of 2027 due to temporary suspension.