Highlights

• Zimplats delivered a substantial FY26 earnings improvement as stronger realised metal prices supported revenue and margins.
• Mining and milling volumes increased during the year, while free cash flow shifted back into positive territory.
• Major expansion, replacement-mine and renewable-energy projects continued progressing toward planned production and capacity targets.

FY26 Financial Performance Improves Sharply

Zimplats Holdings Limited (ASX: ZIM) reported its preliminary FY26 financial performance for the 12 months ended 30 June 2026. Revenue expanded by 57% to US$1.299 billion, compared to US$826.6 million in FY25. Profit before income tax increased to US$387.5 million from US$66.4 million, while profit attributable to shareholders rose to US$276.7 million, compared to US$40.5 million previously. Basic earnings per share reached 257 US cents, well above 38 US cents in the prior year.

Stronger Pricing Supports Margins

Revenue benefited from a sharp improvement in the amount realised per 6E ounce, which climbed to US$2,171 from US$1,349. This pricing improvement outweighed a 2% reduction in 6E sales volumes to 598,369 ounces. Cost of sales increased 20% to US$860.9 million, partly reflecting higher employee expenses, expanded smelter operations and increased maintenance activity. Nevertheless, gross margin strengthened to 34%, compared to 13% in FY25.

Mining Volumes and Cash Generation Advance

Ore production increased 9% to 8.4 million tonnes, while ore processed rose 8% to 8.0 million tonnes. Bimha Mine delivered 3.2 million tonnes, up 10%, while Mupani Mine increased output 20% to 2.4 million tonnes.

Free cash flow after growth expenditure reached US$31.0 million, reversing the US$17.1 million negative outcome recorded in FY25. Cash at year-end stood at US$58.3 million after the Group repaid US$69.3 million of borrowings. Zimplats did not declare a dividend for FY26.

Outlook

Capital expenditure moderated to US$153 million as several major projects moved closer to completion. Mupani remains targeted to achieve annual production of 3.6 million tonnes by FY29, while the Phase 2A solar project is scheduled for completion during H1 FY27. Zimplats also expects ore grades to improve in FY27 following the South Pit closure and continued underground grade-recovery initiatives.

Note- All data presented is based on information available at the time of writing.

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