Sims Limited Signals Strong FY26 Outlook Amid Market Tailwinds
Sims Limited (ASX: SGM), a global leader in metal recycling and circular technology solutions, has issued a positive outlook for FY26, supported by favourable conditions in non-ferrous metals and memory chip markets. The company expects group underlying EBIT to range between AU$350 million and AU$400 million, reflecting resilient operational performance despite modest disruptions from geopolitical tensions, mainly impacting shipping and fuel costs.
Its Sims Lifecycle Services segment is expected to deliver EBIT between AU$165 million and AU$185 million, driven by strong DDR4 pricing and sustained hyperscaler demand. Meanwhile, the Metals business continues to benefit from elevated non-ferrous prices and improving US ferrous pricing, although Chinese steel exports remain a headwind for scrap markets.
Looking ahead, Sims anticipates a stronger second-half performance, particularly in North America and Southern Africa, while near-term ferrous price conditions in Australia and New Zealand remain subdued.
Customer Notice:
Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Enva Australia Pty Ltd (AFSL 424494). The information contained in this website is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.
Kapitales Research, Level 13, Suite 1A, 465 Victoria Ave, Chatswood, NSW 2067, Australia | 1800 005 780 | info@kapitales.com.au
x
Daily Dose of Buy, Sell & Hold recommendations before the market opens.
Start Your 7 Days Free Trial Now!
We use cookies to help us improve, promote, and protect our services.
By continuing to use this site, we assume you consent to this.
Read our
Privacy Policy
and
Terms & Conditions
Sims Limited Signals Strong FY26 Outlook Amid Market Tailwinds
Sims Limited (ASX: SGM), a global leader in metal recycling and circular technology solutions, has issued a positive outlook for FY26, supported by favourable conditions in non-ferrous metals and memory chip markets. The company expects group underlying EBIT to range between AU$350 million and AU$400 million, reflecting resilient operational performance despite modest disruptions from geopolitical tensions, mainly impacting shipping and fuel costs.
Its Sims Lifecycle Services segment is expected to deliver EBIT between AU$165 million and AU$185 million, driven by strong DDR4 pricing and sustained hyperscaler demand. Meanwhile, the Metals business continues to benefit from elevated non-ferrous prices and improving US ferrous pricing, although Chinese steel exports remain a headwind for scrap markets.
Looking ahead, Sims anticipates a stronger second-half performance, particularly in North America and Southern Africa, while near-term ferrous price conditions in Australia and New Zealand remain subdued.
Customer Notice:
Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Enva Australia Pty Ltd (AFSL 424494). The information contained in this website is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.
Kapitales Research, Level 13, Suite 1A, 465 Victoria Ave, Chatswood, NSW 2067, Australia | 1800 005 780 | info@kapitales.com.au