Stanmore Resources (SMR) Q2 2026 earnings summary

Executive summary

• Achieved a 27% quarter-on-quarter increase in ROM coal production, rebounding from prior wet weather impacts, with year-to-date saleable production of 6.5 million tonnes tracking at the upper end of full-year guidance.

• Safety performance remained robust, with no serious accidents and a Serious Accident Frequency Rate of 0.5, below industry average.

• Environmental Impact Statement (EIS) for Isaac Downs Extension submitted ahead of schedule, with positive regulatory feedback allowing early public consultation.

• Debt refinancing completed post-quarter, lowering funding costs and improving liquidity.

Financial highlights

• Ended the quarter with a consolidated cash balance of $138 million and net debt of $72 million, with total liquidity exceeding $400 million, supported by the renewal of an unsecured working capital facility.

• Capital expenditure was $27 million, higher than Q1 due to increased activity in drier months and semi-annual debt repayments.

• Achieved an average sales price of $154/ton for the quarter and $153/ton for the first half, reflecting a 65% realization against the PLV index.

Outlook and guidance

• Full-year saleable production guidance reaffirmed, with expectations to finish at the upper end of the range; further update expected after half-year results.

• No plans to upgrade production guidance; South Walker Creek and Isaac Plains expected to perform in line with guidance, while Poitrel is tracking above annualized guidance.

• Operational ramp-up expected in the second half, supported by increased stripping and pit preparation.

• Cost guidance remains unchanged, with FX and diesel prices as key variables; hedging in place to manage fuel price volatility.