Lynas Rare Earths Ltd (ASX:LYC) Reports H1 2024 Financial Results
Financial Performance
Lynas Rare Earths Ltd (ASX:LYC) reported a revenue increase of 8% to $254.3 million for the half year ended 31 December 2024, compared to $234.8 million in the previous period. The revenue growth was driven by a 23% rise in NdPr sales volume, despite a 14% decline in total REO sales volume due to weak market demand for La and Ce products. However, EBITDA decreased by 39% to $38.1 million, and profit after tax attributable to members fell by 85% to $5.9 million. The company did not declare or pay any dividends during the period.
Operational Achievements
Despite challenging market conditions, Lynas achieved significant operational milestones. The company officially opened its new Kalgoorlie Facility, marking Australia’s only downstream rare earths processing facility. Additionally, Stage 1 of the Mt Weld Expansion project was successfully commissioned. Progress continued on the Lynas Malaysia Expansion, with progress being made on the installation of a new Dy/Tb separation circuit and commissioning of a new MREC receival facility. Lynas also identified a pathway to resolve wastewater management challenges at its U.S. Rare Earths Processing Facility.
Safety and Environmental Updates
Lynas demonstrated a strong commitment to safety, with the Mt Weld Expansion team achieving 1 million hours LTI-free, and the Lynas Malaysia Expansion team reaching 1.2 million hours without a single Lost Time Injury.
Motley Fool contributor Matt Burgess has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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