Lynas Rare Earths delivered record quarterly revenue of A$288.9 million for the June quarter 2026, representing a 70 percent increase compared to the same period last year. The standout metric was the average selling price achieved across all rare earth products, which reached a record A$98.2 per kilogram during the quarter. This exceptional pricing reflects improved neodymium-praseodymium market conditions, a richer mix of heavy rare earth sales, and higher premiums over market indices, demonstrating strong customer demand for the company’s product portfolio.
Despite navigating operational challenges with the Mt Weld water recycling plant and ore concentrate quality, the company ramped up dysprosium and terbium production to 19 tonnes. Samarium oxide achieved first production in March 2026, with first customer orders expected in the current quarter. This product diversification matters because higher-margin heavy rare earths command premium pricing.
Closing cash reached A$1,209.1 million, up from A$166.4 million in the prior quarter, reflecting higher revenue from improved pricing and solid collections. The company deployed A$88.1 million in capital expenditure during the quarter, focusing on completing the A$1.5 billion Lynas 2025 growth investment.
However, investors should note a material cost escalation. The heavy rare earth expansion project at Lynas Malaysia has increased from approximately A$180 million to A$294 million, a 63 percent increase. This reflects higher equipment costs, sourcing outside China, and geopolitical pressures.
On the strategic front, Lynas signed a significant partnership agreement with JS Link, Inc on 7 July 2026 to develop a rare earth permanent magnet factory in Malaysia. Lynas will invest approximately A$50 million in ordinary equity, and will supply rare earth materials under an exclusive agreement extending to January 2038. This vertical integration move could support long-term revenue stability.
Investors should monitor the ramp-up of samarium production and customer order fulfillment, the trajectory of heavy rare earth pricing, and progress on the Malaysia expansion and magnet factory projects. This announcement is price sensitive and has been flagged as material by the ASX.
View the full ASX announcement (PDF)
About Lynas Rare Earths Limited (ASX: LYC)
Lynas Rare Earths Limited engages in the exploration, development, mining, extraction, and processing of rare earth minerals in Australia and Malaysia. The company operates the Mt Weld rare earths mine in Western Australia, a processing facility in Kalgoorlie, and an advanced materials plant in Gebeng, Malaysia. It produces light rare earths including lanthanum, cerium, praseodymium, and neodymium, as well as heavy rare earths, making it the largest producer of separated rare earths outside China.
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