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28 August 2025
FY25 was a milestone year for South32 as we celebrated 10 years since we were established. We have continued work to deliver our strategy, which supports our purpose and is underpinned by our approach to sustainability.
In pursuit of our strategy, underpinned by a focus on sustainability, we have improved the quality of our portfolio through greater exposure to higher-margin businesses.”
Karen Wood
“Strong operating performance during the year enabled us to capitalise on improved commodity prices, as we delivered annual production growth of 20 per cent in copper and 6 per cent in aluminium.
Looking ahead, we are focused on maintaining our operating momentum and capitalising on our transformed portfolio to deliver growth and returns for shareholders.”
Graham Kerr
Chief Executive Officer
OUR PERFORMANCE
AT A GLANCE
Key highlights from our FY25 performance include:
- Achieving 102% of production guidance driven by annual production growth in copper and aluminium;
- Achieving operating unit costs in line with or below guidance for most of our operations;
- Securing approvals to extend Worsley Alumina’s mine life;
- Successfully completing the operational recovery plan at GEMCO following the impacts of Tropical Cyclone Megan;
- Increasing production at Mozal Aluminium by 13% having successfully managed the impacts of civil unrest in Mozambique; and
- Increasing our FY25 Underlying EBITDA by 7% to US$1.9 billion, and Underlying earnings to US$666 million.
1 Includes direct employees at our non-operated joint ventures.
2 Fully-franked ordinary dividends paid in respect of H2 FY24 (US$140 million), fully-franked ordinary dividends paid in respect of H1 FY25 (US$154 million) and on-market share buy-back (US$56million).
3 Spend data does not include spend associated with (a) traded goods and services that are not used for operating costs (logistics and bulk raw materials are included in total spend); (b) purchasing/credit cards which can only be used for low-value transactions (under US$2,000 per month), time-sensitive land tenement payment or regulatory permit or license applications and renewals; and (c) non-order invoice payments which are typically limited to regulatory payments, internal payments (including to internal companies and joint arrangement partners), donations, employee benefits, non-employee reimbursements, legal settlements, or payments to doctors, hospitals or for medical treatments.
4 Relates to injuries and illnesses with potential to cause significant harm, including incidents with the potential to cause impairment to ≥30% of the body or result in a fatality.
OUR STRATEGY IN ACTION
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926ktCopper equivalent production1FY24: 1,025kt | US$1,353mCapital expenditure2FY24: US$1,409m |
US$192mFree cash flow from operationsFY24: US$(80)m | 1.4Lost time injury frequency (per million hours worked)FY24: 2.03 |
1 Copper equivalent production was calculated using FY25 realised prices.
2 Total capital expenditure including equity accounted investments.
3 Three injuries which occurred in FY24 have been reclassified from restricted work cases to lost time cases, resulting in an increase in LTIF from 1.9 to 2.0.
23.1%Proportion of our workforce who are womenFY24: 20.6%1 | US$517mGrowth capital expenditure invested at our Hermosa projectFY24: US$372m2 |
89.5%Proportion of Black People in our workforce in South AfricaFY24: 88.4% | 82.1%Inclusion index score, as measured in our Your Voice employee surveyFY24: 81.8% |
1 For year-on-year comparison, FY24 total women in workforce, excluding Illawarra Metallurgical Coal which was sold in August 2024, is 22.5.
2 Comprises capital expenditure, capitalised exploration and evaluation expenditure and the purchase of intangibles. Capital expenditure comprises safe and reliable capital expenditure, improvement and life extension capital expenditure (including decarbonisation), and growth capital expenditure.
US$23mSpend on social investmentFY24: US$24m | US$35mInvestment in greenfield exploration opportunitiesFY24: US$27m |
A$24mProcurement from Aboriginal and Torres Strait Islander businessesFY24: A$34m | 20.7 Mt CO2-eOperational emissionsFY24: 20.3 Mt CO2-e1 |
1 Includes Scope 1 and Scope 2 greenhouse gas emissions.
FY25 Financial Results
Follow the links below to see our financial results for FY25 and our results presentation.
A STORY 10 YEARS IN THE MAKING
Over the past decade we have transformed our portfolio to focus on minerals and metals critical to the world's energy transition while striving to leave a positive legacy.
- Transformed portfolio
- Reduced complexity
- Higher margins, improved returns
- Positioned for the energy transition
Over the past decade we have transformed our business and now have a stronger, simpler portfolio focused on producing minerals and metals critical to the world’s energy transition.
Throughout the past 10 years, we have divested lower-margin, capital-intensive assets in coal and manganese alloys and increased our exposure to future-facing copper and zinc.
Production by commodity (CuEq, %)1
1 Copper equivalent production has been calculated based on FY25 average realised product prices for all years included in FY25 reporting, to allow for comparison between years.
We have transformed our portfolio to be simpler with a greater exposure to attractive commodities focused on higher-margin, longer-life mining assets with multiple extension options.
Operations profile1
| FY16 | FY25 pro-forma2 | |
 | Operating sites | |
| 16 > | 9 | |
 | Employee headcount (000s) | |
| 14 > | 8 | |
We've continued to streamline our portfolio over the past decade, with divestments providing additional balance sheet flexibility to support investment in our growth options.
We completed the sale of South Africa Energy Coal and Tasmanian Electro Metallurgical Company in 2021, Illawarra Metallurgical Coal in 2024 and the Metalloys manganese smelter in 2025. In July 2025, we announced a binding agreement to divest our Cerro Matoso nickel operation, with completion expected in late H1 FY263. These divestments have simplified and reduced the complexity of our portfolio.
1 Excludes non-operated sites.Includes all South32 employees globally, including at our manganese EAIs, direct employees at our non-operated joint ventures, development projects and options, and our Group functions.
2 FY25 pro-forma refers to the Group excluding Cerro Matoso.
3 In July 2025, we entered into an agreement to sell Cerro Matoso, which is expected to complete in late H1 FY26 subject to the satisfaction or waiver of certain conditions. Refer to market release “Agreement to Divest Cerro Matoso” dated 7 July 2025 for further details.
Our portfolio transformation over the past decade has helped us achieve improved financial results and shareholder returns in FY25, underpinned by strong operating performance.
Group operating margin
The reshaping of our portfolio has helped us realise an increased Underlying EBITDA of US$1.9 billion in FY25 and enabled us to return US$350 million to shareholders during the financial year.
Group return on invested capital
We have taken action to reduce our operational emissions and, through our portfolio transformation, have removed our exposure to hard-to-abate Scope 3 emissions from coal production and downstream use.
Emissions profile (FY16 vs FY25, total operations)1
| FY16 | FY25 pro-forma2 | |
 | Scope 1 and 2 (Mt CO2-e) | |
| 23.4 > | 20.7 | |
 | Scope 3 (Mt CO2-e) | |
| 137.6 > | 22.7 | |
We have advanced decarbonisation efforts, focusing on our highest-emitting operations in our aluminium value chain, being our Hillside Aluminium smelter and Worsley Alumina refinery.
We have invested in our Hermosa Project, currently the only advanced project in the United States capable of supplying two federally designated critical minerals, zinc and manganese.
We have also added copper to our portfolio with the acquisition of a 45% stake in Sierra Gorda. As the world moves towards electrification, copper will increasingly be used in power-related infrastructure, including renewable energy.
1 We report two operational emissions data sets: total operations, which includes divested operations, and continuing operations, which reflects emissions from our current operations.
2 FY25 pro-forma refers to the Group excluding Cerro Matoso.
PROGRESSING HERMOSA
At our Hermosa project in Arizona, United States we are continuing the development of the Taylor deposit.
Taylor has the potential to be a top 10 global producer of zinc, which is critical to support the global energy transition. This year we started sinking the main shaft at Taylor, commissioned its hoisting system, and continued sinking the ventilation shaft. We have also started construction of the process plant.
We reached a key milestone in the FAST-41 Federal permitting process when the US Forest Service released a Draft Environmental Impact Statement (EIS) for Hermosa, with the final EIS remaining on track for H2 FY26.
Taylor is the first development stage of a significant, regional-scale opportunity at Hermosa, with the potential to deliver value for our shareholders for decades to come.
Work is continuing to progress other opportunities at Hermosa including the Clark deposit, which has the potential to produce battery-grade manganese, and the Peake deposit, where additional drill results support the potential for a continuous copper system connecting Peake with Taylor.
GEMCO RECOVERY PLAN COMPLETED
In May 2025, export sales resumed at Australia Manganese, marking an important milestone in its recovery from the significant damage caused by Tropical Cyclone Megan in March 2024.
More than 317,000 hours were invested in the wharf recovery and rebuild, with over 970 tonnes of steel and 740 tonnes of concrete removed from the seabed. A bridge connecting the northern pits of the Western Leases mining area and the processing plant was also rebuilt. The Australia Manganese team worked closely with the broader Groote Eylandt community to support their recovery, focusing on repairing key infrastructure, enabling the delivery of supplies and the restoration of essential services.
Manganese ore is now being loaded and shipped from the reconstructed wharf at Australia Manganese, which is expected to return to normalised rates over FY26.
Annual Report 2025
Our Annual Report 2025 is a summary of South32’s operations and activities and performance for the year ended 30 June 2025 and its financial position as at 30 June 2025. It also includes our progress against our sustainability and human rights commitments.
This year we have integrated our Sustainable Development Report and Corporate Governance Statement into our Annual Report.
OUR SUSTAINABILITY PERFORMANCE
We are committed to transparently reporting our sustainability performance and providing clear and meaningful disclosures.
Our Annual Report 2025 outlines how our business-wide processes support our sustainability objectives, how we manage our material sustainability topics and our sustainability performance for FY25, supported by our Sustainability Databook 2025, which provides data intended to assist our investors and stakeholders with understanding our performance.
SUSTAINABILITY PERFORMANCE HIGHLIGHTS
Expand the boxes below to learn more about our FY25 performance on key sustainability topics.
 | Protecting and respecting our peopleNothing is more important than the health, safety and wellbeing of our people. We are committed to improving our safety performance, and fostering a values-based culture and an inclusive and diverse workforce.
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 | Delivering value to societyWe believe trust and transparency are essential to the way we operate. We listen to our stakeholders to understand what’s important to them and work together with the aim of creating enduring value.
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 | Operating ethically and responsiblyOperating ethically and responsibly is essential to building strong, mutually beneficial and trusting relationships with our stakeholders. We respect human rights and seek to apply responsible business practices across our value chain.
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 | Managing our environmental impactWe are focused on managing our impact on nature, including water, biodiversity, air and surrounding ecosystems. We work hard to safely manage tailings, reduce waste, and rehabilitate land disturbed by our activities.
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 | Addressing climate changeAddressing risks and opportunities that climate change presents is central to our strategy. Our climate actions are focused on positioning our portfolio for the energy transition, reducing our operational GHG emissions, supporting emissions reduction across our value chain, and strengthening our physical climate resilience.
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CASE STUDIES
Our sustainability approach in action
CLIMATE CHANGE ACTION PLAN
This CCAP 2025 is an update of our approach based on a refresh of our climate-related risks and opportunities and insights from implementing our inaugural CCAP. It outlines how we are continuing to position our portfolio for the energy transition and reaffirms our commitment to reducing our operational (Scope 1 and 2) emissions, supporting value chain (Scope 3) emissions reduction and enhancing our management of physical climate risks
Download our Climate Change Action Plan 2025
