FY2022
Funding and final investment approval
The December 2021 capital raising, Ford funding commitment and June FID supported development. Non-lithium assets were distributed through the Minerals 260 demerger.
ASX: LTR · Five-year financial review
(ASX: LTR) Liontown Resources Limited Financial Review - FY2022~26
Liontown moved from funding Kathleen Valley’s construction to selling spodumene and generating operating cash. The five-year story has three distinct forces: the production ramp-up, a major financing reset, and accounting gains that mean headline profit is not the same as recurring cash earnings.
Reading the figures: Units are stated above each table or beside the metric. Brackets denote negative amounts. Supported nil is shown as zero; unlike reporting bases remain separately labelled.
FY2026 sales
A$639.136m
Revenue after pricing adjustments.
FY2026 operating cash
A$181.912m
Not the same as statutory profit.
FY2026 gross profit
A$93.989m
After cost of goods sold.
FY2026 tax benefit
A$108.453m
Noncash deferred-tax effect in earnings.
Five years in context
Final investment approval in June 2022 led into substantial construction spending. First concentrate in July 2024 belongs to FY2025; processing-plant commercial production followed in January 2025 and Mount Mann underground commercial production in April 2026.
The first and last years both show statutory profits, but for different reasons. FY2022 included the Minerals 260 demerger gain; FY2026 combined improved gross trading performance with a material deferred-tax benefit. The tables keep those effects visible.
Events behind the numbers
FY2023
Construction cost and funding increase
The capital estimate rose to A$895m in January. The first Ford drawdown followed in April as construction spending accelerated.
FY2024
Peak construction spending
Cash plant and equipment payments increased sharply before first concentrate in July 2024, after the June balance date.
FY2025
First sales and plant commercial production
Shipments began in September 2024; the processing plant reached commercial production in January 2025. Low lithium prices and the inventory write-down burdened the first sales year.
FY2026
Underground operation and capital reset
Mount Mann reached commercial production in April. LGES converted its notes into shares in February; new equity raising and stronger operating receipts rebuilt cash.
FINANCIAL REVIEW / 01
A return to profit—with an important tax qualification
FY2026 gross trading performance improved, but finance, derivative and FX effects left a pre-tax loss. The tax benefit turned that into a statutory profit. This is a stronger operating business than the prior year, but net profit alone overstates the improvement in recurring cash earnings.
The earlier FY2022 profit was dominated by the in-specie demerger, not lithium sales. Later corporate costs, share-based charges and exploration expenses reflect a changing business; lower expensed exploration does not mean construction expenditure disappeared.
Pre-tax result versus after-tax result
A$ million
Profit / (loss) before taxProfit / (loss) after tax
AI-generated presentation · values from Five-year statutory earnings: two different sources of profit; no missing values plotted as zero.
Five-year statutory earnings: two different sources of profit
A$ million
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
| Profit / (loss) after tax | 40.855 | (22.213) | (64.918) | (193.277) | 92.552 |
| Profit / (loss) before tax | 41.347 | (22.405) | (64.912) | (193.095) | (15.901) |
| Income tax benefit / (expense) | (0.492) | 0.192 | (0.006) | (0.182) | 108.453 |
| Other income — excludes demerger | 1.314 | 0.496 | 0.225 | 3.598 | 0.438 |
| Corporate and administration expense | (10.369) | (18.032) | (41.324) | (36.293) | (38.626) |
| Exploration and evaluation expense | (38.686) | (11.670) | (12.299) | (1.354) | (0.939) |
| Share-based payment expense | (3.156) | (4.522) | (7.083) | (4.178) | (5.198) |
A$ million; signed statutory amounts. FY2022 includes A$90.960m Minerals 260 demerger gain, separately from other income. It is not mine revenue or operating cash.
FY2023 administration uses the FY2024 comparative (A$18.032m); the original was A$18.042m with a corresponding financing classification difference. Total pre-tax and after-tax results are unchanged.
FY2026 net profit includes A$108.453m tax benefit despite a pre-tax loss. The benefit is not customer cash received.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
Financing and non-IFRS measures after production began
A$ million
| Metric | FY2025 | FY2026 |
|---|---|---|
| Finance income | 11.388 | 15.776 |
| Finance expense | (47.064) | (46.982) |
| Derivative fair-value gain / (loss) | 34.302 | (59.837) |
| Financing FX gain / (loss) | (9.394) | 25.478 |
| Issuer underlying profit / (loss) after tax | (139.987) | 14.102 |
| Issuer underlying EBITDA — revised FY2026 basis | 20.101 | 147.353 |
Underlying results are non-IFRS. FY2026 changed EBITDA methodology to remove noncash inventory movements in both periods; the original FY2025 EBITDA was A$55.044m, not the A$20.101m comparative used here.
Underlying NPAT excludes specified inventory, financing and prior-loss deferred-tax recognition adjustments. It is not interchangeable with statutory NPAT, cash flow or a forecast.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
FY2026 underlying-to-statutory profit reconciliation
A$ million
| Metric | FY2026 |
|---|---|
| Underlying profit after tax | 14.102 |
| Tax-effected inventory NRV adjustment | 9.782 |
| Tax-effected LGES fair value / FX adjustments | (44.265) |
| Recognition of deferred tax asset for prior losses | 112.933 |
| Statutory profit after tax | 92.552 |
This is the issuer’s non-IFRS reconciliation. A$112.933m prior-loss recognition is one reconciling item, not the same as the net A$108.453m tax benefit in the income statement or the closing deferred-tax asset balance.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
FINANCIAL REVIEW / 02
More sales, better pricing, and a different cost base
The issuer links FY2026 revenue growth to higher sales tonnes and improved realised lithium pricing. The movement from a gross loss to gross profit also contains inventory valuation effects, so it cannot be attributed to volume alone.
Commercial-production dates matter: they change when depreciation starts and whether costs remain capitalised. Commissioning offsets and inventory movements therefore need to stay beside mining, logistics and royalty costs rather than being hidden in a single unit-cost comparison.
Underlying EBITDA is presented only on the latest consistent basis. The issuer revised the FY2025 comparative to exclude noncash inventory movements; joining the old FY2025 figure to the new FY2026 figure would create a misleading trend.
Sales, cost of goods sold and gross result
A$ million
Total sales revenueCost of goods soldGross profit / (loss)
AI-generated presentation · values from The two producing years: from shipments to gross margin; no missing values plotted as zero.
Inventory valuation contribution to cost of sales
A$ million
Net realisable value adjustment
AI-generated presentation · values from What sits inside cost of goods sold; no missing values plotted as zero.
The two producing years: from shipments to gross margin
A$ million
| Metric | FY2025 | FY2026 |
|---|---|---|
| Spodumene concentrate revenue | 287.355 | 629.831 |
| Shipping / insurance revenue | 11.857 | 14.283 |
| Provisional / final pricing adjustments | (1.647) | (4.978) |
| Total sales revenue | 297.565 | 639.136 |
| Cost of goods sold | (441.665) | (545.147) |
| Gross profit / (loss) | (144.100) | 93.989 |
A$ million. No mine-sales series is backfilled into the pre-production years. Revenue is not the same as cash receipts or the value of an unsigned offtake target.
Pricing adjustments can arise after the initial shipment. Shipping is a separate revenue component under applicable contracts; SC6-equivalent unit prices below are not revenue per actual shipped tonne.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
What sits inside cost of goods sold
A$ million
| Metric | FY2025 | FY2026 |
|---|---|---|
| Mining and processing | (250.833) | (341.913) |
| Haulage and port | (23.977) | (32.354) |
| Shipping and selling | (11.857) | (46.289) |
| Royalty expense | (21.770) | (47.345) |
| Depreciation and amortisation | (157.610) | (128.524) |
| Inventory movements | 66.195 | 40.184 |
| Net realisable value adjustment | (81.120) | 13.974 |
Signed P&L components, not all cash expenses. Positive inventory/NRV amounts reduce the expense total. FY2025 additionally includes A$39.307m capitalised commissioning costs as an offset; FY2026 includes A$2.880m other costs.
FY2026 shipping/selling contains a A$21.552m disputed-shipment accrual; do not interpret the whole increase as ordinary ocean freight. The FY2025 inventory write-down and FY2026 reversal affect gross margin separately from mining performance.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
Operating evidence behind the FY2026 financial turn
Units in row labels
| Metric | FY2026 |
|---|---|
| Spodumene concentrate produced (dmt) | 391,992 |
| Spodumene concentrate shipped (dmt) | 381,997 |
| Average realised price (US$/t SC6 equivalent) | 1,379 |
| Average lithia recovery (%) | 61 |
Physical quantities and price use their stated units, not A$ million. Produced and shipped tonnes differ; SC6 equivalent is a price-normalisation basis, not the physical concentrate grade. Recovery is approximately 61%.
The issuer attributes FY2026 revenue growth to both higher concentrate tonnes sold and improved SC6-equivalent realised pricing. These operating measures are not a resource/reserve valuation.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
FINANCIAL REVIEW / 03
Operating cash finally contributed to investment funding
The FY2024 construction peak preceded first sales. By FY2026, operating inflow exceeded cash plant payments, while fresh equity further increased cash. Those are distinct sources of liquidity; the noncash convertible-note exchange did not itself put new cash in the bank.
FY2022 royalty termination was classified in operating cash flow. Later plant construction primarily sat in investing activities, and financing included changing mixes of share issues and loans. This classification history is why comparing only the operating subtotal can mislead.
Operating, investing and financing cash flows
A$ million
Net operating cash flowNet investing cash flowNet financing cash flow
AI-generated presentation · values from Cash generation and the construction funding cycle; no missing values plotted as zero.
Cash generation and the construction funding cycle
A$ million
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
| Net operating cash flow | (47.006) | (16.352) | (47.016) | 0.713 | 181.912 |
| Net investing cash flow | (13.954) | (244.070) | (680.786) | (330.689) | (134.041) |
| Net financing cash flow | 501.491 | 112.784 | 545.313 | 362.602 | 357.156 |
| Cash payments for plant and equipment | (13.274) | (232.654) | (665.729) | (330.689) | (134.041) |
| Gross cash share proceeds | 516.895 | 0.298 | 389.943 | 0.000 | 372.054 |
| Cash share-issue costs | (15.319) | (0.050) | (11.192) | (0.005) | (9.662) |
| Exploration cash payments | (9.136) | (11.450) | (12.498) | (1.361) | (0.936) |
Cash flows in A$ million; financing is not free cash flow. FY2025 share proceeds are explicitly shown as a dash/nil in the complete cash-flow statement and confirmed by its FY2026 comparative.
FY2022 operating cash use includes A$30.250m for royalty rights. FY2023–FY2024 investing also contains purchases of financial assets, so total investing cash flow is not identical to mine capex.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
Operating cash receipts versus supplier outgoings
A$ million
| Metric | FY2025 | FY2026 |
|---|---|---|
| Receipts from customers | 302.119 | 644.708 |
| Payments to suppliers and employees | (311.328) | (474.708) |
| Interest received | 11.283 | 14.630 |
These are selected operating components; exploration payments and FY2026 withholding tax complete the statement. Customer cash differs from recognised sales because of settlement timing and receivables.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
FINANCIAL REVIEW / 04
Construction became productive assets; debt became equity
The fall in assets under construction reflects commissioning and transfers into operating asset classes. It does not imply the same amount of cash was recovered. Remaining construction assets support continuing underground development and other unfinished capital works.
LGES converted its full holding, including accrued interest, into shares in February 2026. This helped reduce debt and increase equity without an equivalent cash repayment. Placement and share-purchase-plan proceeds were separate cash transactions.
Low spodumene prices triggered a FY2025 impairment test, but the issuer’s estimated recoverable amount exceeded carrying value and no CGU impairment was recognised. That conclusion depends on assumptions; it is not a market valuation of the mine.
Cash, construction assets and total equity
A$ million
Cash and cash equivalentsOf which: assets under constructionTotal equity / net assets
AI-generated presentation · values from Consolidated financial position at 30 June; no missing values plotted as zero.
Consolidated financial position at 30 June
A$ million
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
| Cash and cash equivalents | 453.076 | 305.438 | 122.949 | 155.575 | 560.602 |
| Total assets | 487.058 | 655.156 | 1,384.924 | 1,563.541 | 2,131.369 |
| Total liabilities | 20.211 | 205.420 | 614.852 | 982.967 | 660.211 |
| Total equity / net assets | 466.847 | 449.736 | 770.072 | 580.574 | 1,471.158 |
| Property, plant and equipment — net carrying amount | 26.985 | 329.459 | 1,200.618 | 1,343.560 | 1,346.047 |
| Of which: assets under construction | 26.178 | 310.805 | 811.138 | 361.868 | 171.674 |
A$ million, consolidated Group, not parent-only accounts. FY2026 liabilities are shown as positive balances consistently with earlier years (the source uses parentheses). Assets under construction are part of PPE, not additional assets.
Transfers out of construction indicate assets becoming ready for use; they are not disposals or cash receipts. Accounting additions and cash plant payments are different measures.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
Borrowings and the equity reset
A$ million
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
| Interest-bearing loans and borrowings — excludes leases | 0.000 | 115.234 | 317.896 | 687.608 | 368.685 |
FY2026 is calculated as the sum of current and noncurrent borrowing magnitudes (A$52.691m + A$315.994m). It excludes leases and derivative liabilities. Earlier periods use reported loan totals.
FY2024 original loan total is A$317.896m; FY2025 reclassifies its comparative to A$317.755m. The original year’s basis is retained here. FY2026 debt reduction includes conversion to shares and is not a cash repayment of the same size.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
FY2026 equity inflows: cash raising versus noncash conversion
A$ million
| Metric | FY2026 |
|---|---|
| Institutional placement — gross issue value | 316.017 |
| Share purchase plan — gross issue value | 56.037 |
| Convertible-note equity conversion | 423.846 |
| Closing issued share capital | 1,745.469 |
Issue values and conversion accounting are not profit. The note conversion generated no equivalent cash receipt. Issued capital is a cumulative equity balance, not the year’s total proceeds.
Source: Annual-report extractions; report editions are listed once in the consolidated source registry.
Reading the figures
- Periods are FY2022–FY2026, years ended 30 June. Group financial statements are used, not parent-only summaries.
- Commercial production for the processing plant and underground mine occurred on different dates; construction/commissioning costs, operating costs and cash spending are not interchangeable.
- FY2023 expense reclassification and FY2024 original versus later borrowing comparatives are disclosed. Revised non-IFRS EBITDA comparisons use the FY2026 methodology only.
- Operating quantities are not mineral valuations. Production targets and expansion-study outcomes are not inserted as historical sales.
- Prepared from existing year-by-year extraction records only. No raw-source retrieval, database query, financial web research or MiniMax call. GPT review against saved extractions; not an independent original-document audit.
Annual-report source registry
- Liontown Resources Limited - Annual Report to ShareholdersExisting annual extraction, including separately identified historical comparatives.
- Liontown Resources Limited - Annual Report to shareholdersExisting annual extraction, including separately identified historical comparatives.
- Liontown Resources Limited - Annual Report to shareholdersExisting annual extraction, including separately identified historical comparatives.
- Liontown Resources Limited - Annual Report to shareholdersExisting annual extraction, including separately identified historical comparatives.
- Liontown Resources Limited - Annual Report to shareholdersExisting annual extraction, including separately identified historical comparatives.
Prepared solely from the existing year-by-year extraction datasets. No raw annual-report body, PDF, new database lookup or financial web research was used. Review is against those stored extractions, not a new independent original-document audit.
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