The IGO Ltd (ASX: IGO) share price is on watch today after the company returned to profitability in FY26, posting a net profit after tax (NPAT) of $145.3 million and announcing a fully franked final dividend of 5 cents per share.
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What did IGO Ltd report?
- Total revenue of $462.9 million (down 12% from FY25)
- NPAT of $145.3 million (FY25: $954.6 million loss)
- Underlying EBITDA of $285.9 million (FY25: $43.0 million loss)
- Operating cash flow of $132.4 million (up 209%)
- Final fully franked dividend of 5 cents per share ($38 million total)
- Group cash at $386.5 million and undrawn $300 million corporate debt facility
What else do investors need to know?
IGO's performance bounced back as profits from its Greenbushes and Nova operations, plus improved returns from the Tianqi Lithium Energy Australia joint venture, drove earnings higher. Cost and capital management also played a big part in the turnaround, with free cash flow jumping 176% to $134 million.
The company completed the sale of the Forrestania nickel operation to Medallion Metals and announced a deal to divest its Nova operation to Global Lithium Resources, further simplifying the business and re-aligning strategic priorities towards lithium and copper. Key leadership changes occurred, with Dr Vanessa Guthrie AO taking over as Chair and several other board appointments and departures.
What did IGO Ltd management say?
IGO's CEO, Ivan Vella, said:
We are proud of what IGO delivered in FY26 – across safety, operational performance and financial returns. The Group returned to profitability, generated positive underlying free cash flow and ended the year with a strong balance sheet, reflecting the benefits of disciplined execution across the portfolio… Looking ahead, our priorities remain clear: safe and reliable operations at Nova, continued support for Greenbushes and Kwinana, and focused growth through exploration, BioHeap and selective inorganic opportunities where value creation and alignment with our strategy is clear.
What's next for IGO Ltd?
In FY27, IGO expects to close the Nova divestment and focus on growth opportunities in copper and lithium. Guidance points to steady Greenbushes production, lower costs, and increased lithium hydroxide output at Kwinana, though some operational challenges remain.
The company maintains a strong financial position, with $386.5 million in cash and a significant undrawn debt facility, which should support disciplined growth and investment in its targeted commodity areas.
IGO Ltd share price snapshot
The IGO share price has been a strong performer over the past 12 months, beating the S&P/ASX 200 index (ASX: XJO) with a gain of over 50%.
