South32 shares rise after beating FY25 guidance
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More news: South32 shares advanced in morning trade after the miner met or exceeded its full-year guidance across most of its assets.
Shares were up 1.2% to $2.93 at 10:50am AEST, having retreated 14.5% over the last 12 months.
RBC Capital Markets analyst Kaan Peker said South32 recorded a strong fourth-quarter result, with second-half realised pricing also better than expected.
However, Peker noted that higher costs and uncertainty at the miner's Cannington silver and lead mine are likely to offset positive sentiment following the result.
South32 beats production guidance, quarterly sales jump 21%
The news: Diversified miner South32 has exceeded its full-year production guidance, boosted by growth in copper and aluminium output.
The numbers: South32 said it achieved 102% of its group production guidance for the 2025 financial year.
Copper equivalent production from its Sierra Gorda mine in Chile rose 20% year over year, exceeding guidance by 4%.
Aluminium production increased 6% year on year, supported by the ramp-up of production at its Brazil Aluminium operations, while its troubled Mozal Aluminium business in Mozambique approached nameplate capacity during the final quarter.
The miner said group sales volumes were up 21% in the June quarter.
The context: South32, which also said it expects operating costs to meet full-year guidance, is continuing to engage with stakeholders on securing affordable electricity supply to enable Mozal Aluminium to operate beyond March 2026. The company announced last week that it will recognise an unquantified impairment on the business this year and put its FY26 guidance under review.
South32 noted that it continued to streamline its portfolio toward higher-returning businesses, completing the sale of Illawarra Metallurgical Coal in the first half and agreeing to divest Cerro Matoso earlier this month.
The source: ASX
