Nickel Industries posts Q4 earnings and lifts outlook

Nickel Industries reports lower December quarter EBITDA.

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The Nickel Industries Ltd (ASX: NIC) share price is in focus today after the miner reported December quarter adjusted EBITDA from operations is expected to be between US$35 million and US$40 million, with record quarterly earnings from its HNC HPAL operation.

What did Nickel Industries report?

  • December quarter adjusted EBITDA from operations forecast at US$35m–US$40m
  • HNC HPAL achieved record quarterly adjusted EBITDA of US$129m (100% basis)
  • Hengjaya Mine ore sales dropped to 945,631 wmt due to regulatory delays
  • Estimated US$45m in foregone ore sales, plus US$18m in contractor stand-by costs
  • Hengjaya Mine sold 735,000 wmt of ore by 17 January 2026, despite heavy rainfall

What else do investors need to know?

The company's financial performance took a hit in the December quarter as a result of delays in securing an increased Rencana Kerja dan Anggaran Biaya (RKAB) permit for its Hengjaya Mine. This delay meant ore sales fell sharply from the previous quarter.

On the positive side, operations at Hengjaya resumed in mid-December, supporting a quick recovery. The ongoing pivot towards electric vehicle battery materials is progressing too, with the HNC HPAL project delivering a record result and the Excelsior Nickel Cobalt (ENC) project on track.

What did Nickel Industries management say?

Managing Director Justin Werner said:

Whilst the Company has been frustrated in the delay to secure its 2025 RKAB extension, which was only issued on 11 December 2025 and resulted in foregone ore sales of US$45m, plus a further US$18m in contractor stand-by costs, we are extremely pleased to start 2026 strong with 735,000 wmt of nickel ore sold as at 17 January.

What's next for Nickel Industries?

Nickel Industries is turning its attention to the future, with early 2026 operations at Hengjaya Mine off to a strong start despite unusually high rainfall. The company is looking to further diversify with the commissioning of the new ENC project, expected to add significant nickel production focused on the electric vehicle battery supply chain.

This transition is part of a broader strategy to reduce carbon emissions and expand Nickel Industries' presence across the battery materials market. Investors will be watching progress at the ENC project closely over the coming quarters.

Nickel Industries share price snapshot

Over the past 12 months, Nickel Industries shares have risen 6%, slightly trailing the S&P/ASX 200 Index (ASX: XJO) which has risen

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Motley Fool contributor Laura Stewart 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. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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