27 AUGUST 2026
We’ve published our financial results and Annual Reporting Suite for the 2026 financial year, with our base metals business driving strong earnings growth and shareholder returns.
See our Financial Results and Outlook for the Year Ended 30 June 2026
See our 2026 Annual Reporting Suite
Strong operating performance coupled with commodity price tailwinds underpinned one of our largest financial results, with Group Underlying EBITDA increasing by 28 per cent to US$2.5 billion and Underlying earnings increasing by 55 per cent to US$1 billion.
“Cannington and Sierra Gorda’s operating performance enabled the Group to capture the benefit of higher prices across copper, zinc and silver, supporting increased earnings and cash flow from our base metals business,” said Matt Daley, South32 CEO.
Underlying revenue increased by US$498M (or 7%) to US$8,108M, while the Group's profit after tax attributable to members increased by US$874M to US$1,087M.
Group cash flow from operations increased by US$352 million to US$610 million, after investing US$711 million at Hermosa to grow our future base metals production. This enabled the Group to maintain a strong balance sheet with net cash of US$283 million, while returning US$327 million to shareholders during the year.
Reflecting our strong financial performance and disciplined approach to capital allocation, the board has resolved to pay a fully-franked ordinary dividend of 5.4 cents per share, or US$242 million, in respect of the June 2026 half year. The Board has also resolved to extend our capital management program to September 2027, with US$209 million remaining to be returned to shareholders.
On 1 July 2026, we announced a binding conditional agreement to sell our aluminium value chain assets to Alcoa Corporation (Alcoa) for an implied enterprise value of up to US$5.6B (the Transaction). Alcoa will also assume related rehabilitation provisions of approximately US$1.1B.
“The sale of our aluminium value chain assets to Alcoa will simplify and strengthen our portfolio, positioning South32 as a leading base metals focused company with high-margin producing assets and a pipeline of compelling growth options in copper, zinc and silver,” said Matt.
“Looking ahead, the outlook for our business is positive as we focus on safe and stable operations and growing our production of base metals into structurally attractive markets.”
We are continuing to enhance our copper exposure through Sierra Gorda, which increased its Ore Reserve by 61per cent to 1.1 billion tonnes following successful infill drilling programs. Sierra Gorda is expected to deliver production growth of five per cent in FY27 and a further two per cent in FY28, supported by higher planned copper grades. Beyond this, the recently sanctioned fourth grinding line project is expected to increase production by approximately 30 per cent in FY31.
We are advancing construction of the Taylor zinc-lead-silver project at Hermosa, which is expected to deliver attractive returns from its long-life, low-cost production of zinc, silver and lead. In addition, exploration results at the adjacent Peake deposit support its potential as a future source of copper production and mine life extension within the Taylor development.