PLS Group Limited delivered record annual production and sales in FY26, with both metrics increasing 17 percent on the prior year, while the June Quarter itself proved solid operationally despite seasonal headwinds. The June Quarter generated revenue of $743 million, up 31 percent compared to the March Quarter, supported by 214.3 kilotonne production and a record 249.9 kilotonne sales result. These outcomes reflect disciplined mine and plant management at the Pilgangoora Operation, which benefited from improved ore sorter performance, plant reliability, and higher mining activity that positioned the operation ahead of the imminent Ngungaju plant restart.
The realised pricing environment strengthened materially during the period, with the average estimated realised price increasing 13 percent in the June Quarter to US$2,107 per tonne on a CIF China basis (approximately US$2,415 per tonne on an SC6 basis). This pricing momentum underscores persistent demand strength in the lithium sector and provided the primary driver for the significant quarter-on-quarter revenue expansion. Cash margin from operations increased 26 percent to $579 million despite higher unit operating costs, demonstrating the company’s earnings leverage to spot pricing and highlighting operational efficiency gains in managing scale-up activities.
Unit operating costs on a free-on-board basis moved to $616 per tonne (US$437 per tonne) during the quarter, up from the prior period, principally reflecting elevated diesel prices and costs associated with the Ngungaju plant restart preparations. This cost inflation is material but appears transitory, as the Ngungaju restart commenced on 1 July 2026 and is expected to reach target production capacity within four months. The addition of Ngungaju’s output should drive per-unit costs lower in subsequent periods while expanding production capacity meaningfully.
Balance sheet management proved prudent during the quarter, with cash increasing 57 percent to $2,290 million including proceeds from an inaugural US$600 million bond placement. Net cash reached $1,344 million at quarter end, providing substantial firepower for both operational support and growth project development. The company achieved full guidance for FY26 unit operating costs and capital expenditure while exceeding production targets, a track record that underpins investor confidence heading into FY27.
The company issued FY27 guidance alongside the quarterly results. Growth projects P2000 and Colina advanced during the period in line with updated study timelines, with approximately $175 million in pre-FID capital expenditure approved for P2000 in June. Safety metrics showed improvement with the rolling 12-month total recordable injury frequency rate improving to 2.779 from 3.82 in the prior quarter, though quality safety interactions in Australia remain above target levels.
Investors should monitor the Ngungaju ramp trajectory over the coming months, the trajectory of lithium pricing in a global market increasingly focused on demand elasticity, and execution timelines for the P2000 and Colina feasibility studies. This announcement is price sensitive and has been flagged as material by the ASX.
View the full ASX announcement (PDF)
About PLS Group Limited (ASX: PLS)
PLS Group Limited is a global producer of lithium materials that explores, develops, and operates mineral resources with a focus on lithium extraction. The company owns and operates the Pilgangoora lithium mine in Western Australia’s Pilbara region and the Colina Project in Brazil, with spodumene concentrate primarily exported to lithium chemical converters in China. The company is also integrated into the lithium value chain through a joint venture with POSCO in South Korea for battery-grade lithium hydroxide production.
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