Nickel Industries Limited (ASX: NIC), a globally significant, low-cost producer of nickel pig iron (NPI) and a diversified producer of nickel matte and mixed hydroxide precipitate (MHP), has released its Annual Report and Appendix 4E for the year ended 31 December 2025. The company navigated a volatile nickel market by focusing on disciplined capital management and strategic positioning.
Key financial highlights from the report include sales revenue of US$1,649.1 million and a gross profit of US$165.7 million. Despite an impairment expense of US$8.1 million, the company achieved an operating profit of US$126.4 million. The company reported a loss after tax of US$41.2 million and an adjusted EBITDA of US$283.0 million. Balance sheet highlights included total assets of US$4,264.4 million and net assets of US$2,458.5 million.
Operationally, Nickel Industries achieved a finished nickel metal production of 133,469 tonnes in NPI and MHP. The Hengjaya Mine reached a record of 19.2 million tonnes of saprolite and limonite ore mined. A significant development was the introduction of Sphere Corp., a supplier to SpaceX, as a strategic investor in the ENC Project. The company also refinanced its debt to extend the maturity profile. The company continues to de-risk the ENC HPAL Project, with Sphere Corp. entering as a 10% equity partner. An agreement was reached with Shanghai Decent to revise the ENC acquisition schedule, reducing expected future cash outflows.
Looking ahead, the commissioning of the ENC HPAL Project in the first half of 2026 is anticipated to significantly expand the company’s production profile and diversify its product mix. Expanded sales volumes from the Hengjaya Mine, supported by recent RKAB and AMDAL approvals, are also expected to enhance ore security and deliver incremental cash flow, positioning the company for stronger outcomes as market conditions improve.
