The Lynas Rare Earths Ltd (ASX: LYC) share price is falling on Wednesday despite the company reporting record revenue of $977.9 million and net profit after tax (NPAT) of $222.4 million for FY26.
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What did Lynas Rare Earths report?
- Revenue: $977.9 million, up 76% from FY25
- Net Profit After Tax (NPAT): $222.4 million, a huge jump from $8.0 million last year
- EBITDA: $386.0 million, up 282% on FY25
- No dividend declared or paid for the period
- Net tangible assets per share: 350.91 cents, up from 250.62 cents
- Cash and short-term deposits: $1,209.1 million at 30 June 2026
What else do investors need to know?
Lynas delivered record rare earth production volumes, with ready-for-sale rare earth oxide (REO) output up 25% to 13,089 tonnes and neodymium-praseodymium (NdPr) production up 11% to 7,260 tonnes. This helped drive a record average selling price of $80.7/kg across all rare earth products.
The company strengthened its balance sheet following the successful completion of a $750 million institutional placement and a $182 million share purchase plan. These funds will support Lynas' Towards 2030 growth strategy, which focuses on ramping up production and expanding into the downstream magnet and metal supply chain outside China.
In addition, Lynas renewed its Malaysia operating licence for 10 years, providing greater certainty for long-term investment. Major projects such as the Mt Weld expansion and a new hybrid renewable power station were completed during the year, improving operational efficiency and sustainability.
What's next for Lynas Rare Earths?
Lynas continues to progress its Towards 2030 growth strategy by expanding production capacity, resource development at Mt Weld, and increasing heavy rare earth product output at its Malaysian facility. The company has signed significant supply agreements with Japanese and US customers, providing price floors and reducing volatility.
A key focus for the year ahead is ramping up new assets, further improving sustainability (with 93% renewable energy for Mt Weld operations in 2H FY26), and growing its presence in the global magnet and metal supply chain. The board is also conducting a global search for a new CEO following Amanda Lacaze's retirement.
Lynas Rare Earths share price snapshot
Over the past year, the Lynas Rare Earths share price has beaten the S&P/ASX 200 index (ASX: XJO) with a gain of 12%.
