PLS Group Limited

For H1 FY26, PLS reported revenue of $624 million, up 47% year on year, driven by a 40% improvement in realized pricing and higher sales. Sales volume increased 7% to 446,000 tonnes, production increased 6%, FOB unit operating cost fell to $563 a tonne, and underlying EBITDA was $253 million with a 41% margin. Net profit after tax was $33 million versus a loss of $69 million in the prior corresponding half, though this included $16 million in midstream demonstration plant project costs and $39 million of noncash P-PLS impacts. Closing cash was $954 million, down $20 million mainly due to working-capital timing, and total liquidity was stated at over $1.6 billion. Management did not give formal next-quarter guidance, but said operating costs for the Ngungaju restart will mostly be expensed and that FOB cost guidance would be toward the upper end of the $560 to $600 a tonne range. They also said about $85 million in positive pricing adjustments on December-quarter shipments are expected in the March quarter, and that the full-year outlook should improve if current pricing holds.

Dale Henderson framed the quarter as evidence that PLS’s through-cycle strategy is working: operating leverage built during the downturn is now converting into earnings, while the balance sheet remains strong. He emphasized disciplined, staged growth rather than reacting to spot prices, saying capital will only be deployed when returns are compelling and sustainable. On the market, he sounded constructive, saying lithium pricing has improved sharply, inbound customer interest remains strong, and the company is positioned to capture better margins with Ngungaju restarting.

Flavio Garofalo highlighted the hard numbers behind the turnaround: revenue of $624 million, EBITDA of $253 million, EBITDA margin of 41%, and NPAT of $33 million versus a $69 million loss a year ago. He noted FOB unit operating cost of $563 a tonne, cash at $954 million, cash margin from operations of $174 million, and cash margin from operations including mine development and sustaining capital of $111 million. He also explained that $32 million in customer refunds from FY25 pricing timing hit cash early in H1 FY26, while approximately $85 million of positive pricing adjustments are expected in the March quarter, and reiterated that total liquidity is over $1.6 billion including undrawn debt capacity of $625 million.

Analysts focused heavily on Ngungaju’s restart economics, including ore sourcing, fleet impacts, ramp-up timing, and whether the $1,000-a-tonne floor price is enough to support positive cash margins. Management said ore will come from the full mine, the restart needs only a small increase in fleet and some extra operators, and the decision would have been attractive even without the recently announced offtake because inbound demand was strong. Questions also centered on P2000 scope and timing; management said the feasibility study is due in the December quarter, permits are already secured, and the project is being designed as a larger brownfield step-up because the current infrastructure is already near capacity. On Colina and downstream processing, management said the project is earlier stage, needs more drilling and resource work, and that onshore processing in Australia remains challenging, though midstream processing at mine site still looks promising.