The Nickel Industries Ltd (ASX: NIC) share price holders are digesting record ore sales of 4.49 million wet metric tonnes (wmt) at the Hengjaya Mine and a 4% lift in group Adjusted EBITDA to US$125.9 million for the September 2026 quarter.
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What did Nickel Industries report?
- Record Hengjaya Mine ore sales: 4.49 million wmt, up 56% on the previous quarter
- Group Adjusted EBITDA: US$125.9 million, up 4% quarter-on-quarter
- Attributable EBITDA: US$102.4 million, up 3%
- Unit operating costs at Hengjaya Mine: US$18.5/wmt, down 15%
- ENC HPAL reached first MHP and cathode production, with commissioning well advanced
- US$245 million debt facility secured for ENC post-quarter end
What else do investors need to know?
Nickel Industries continues to expand its portfolio, progressing interests in multiple nickel and HPAL projects, including expected full ramp-up of ENC once wet season conditions return. Severe El Niño-driven dry conditions affected ore hauling and water supply, temporarily limiting output at some operations.
Safety performance remained robust, with a low lost-time injury frequency rate and significant hours worked without significant incident. The company also achieved high scores for sustainability, ranking in the top 20% of Asia Pacific metals and mining peers for ESG.
What did Nickel Industries management say?
Managing Director Justin Werner commented:
The September quarter delivered another strong, consistent quarter of EBITDA with Adjusted EBITDA up 4% to US$125.9m and Attributable EBITDA of US$102.4m. Once again, our Hengjaya Mine delivered record quarterly ore sales of 4.49 million wmt, up 56%, and record Adjusted EBITDA of US$76.9m, up 68% – its second consecutive quarterly record… Once normal rainfall returns, the Company is very well positioned to further grow its EBITDA profile as it starts to recognise additional cashflow contribution from its ENC operations.
What's next for Nickel Industries?
Looking forward, full production ramp-up at the ENC HPAL remains dependent on returning rain and improved water availability, expected in the December quarter. The group also eyes expanded mine sales and increased RKEF and HPAL output with ongoing project development, including the Sampala, Siduarsi, TMI, and CNE projects.
Guidance for FY26 includes mine sales of 14.3 million wmt, RKEF nickel sales of 100–110 kt, and attributable HPAL sales of 10–11 kt, as well as targeted investment in growth and maintenance capital expenditure.
Nickel Industries share price snapshot
Over the past 12 months, Nickel Industries shares have declined 3%, trailing the S&P/ASX 200 Index (ASX: XJO), which has declined 2% over the same period.
