Fortescue Metals Group reported a 9% rise in revenue to AUD 17.0 billion for the fiscal year ended June 2026, driven by record iron ore shipments of 201.3 million tonnes. Underlying earnings before interest, tax, depreciation and amortization increased 9% to AUD 8.6 billion, yielding a 51% margin, while underlying net profit after tax rose 3% to AUD 3.5 billion.
Statutory net profit totaled AUD 2.9 billion, reflecting a non-cash impairment charge related to the Iron Bridge project and compensation claim expenses. Operating cash flow reached AUD 6.8 billion, with free cash flow up 25% at AUD 3.2 billion. The company maintained its 65% payout ratio, declaring a full-year dividend of AUD 1.08 per share, including a fully franked final dividend of AUD 0.46 per share.
Capital expenditure totaled AUD 3.6 billion, split between AUD 2.1 billion for sustaining and hub development and AUD 848 million for decarbonization initiatives. Cash holdings stood at AUD 5.1 billion, gross debt at AUD 5.9 billion, and net debt at AUD 0.9 billion, with a gross debt-to-EBITDA ratio of 0.7 times and gearing at 23%.
Fortescue’s iron ore C1 unit cost rose 4% to AUD 18.74 per tonne, though the company noted cumulative cost savings of approximately AUD 750 million over the past two years. Shipments guidance for FY27 was set at 197 million to 207 million tonnes, including 11 million to 14 million tonnes from the Iron Bridge project.
The company’s decarbonization program, with a budget of AUD 6.2 billion, advanced deployments including 18 electric excavators, a first battery-electric truck, two electric drills, two battery-electric locomotives, and XCMG battery-electric equipment. Fortescue’s green grid now exceeds 1.3 gigawatts of operational or under-construction solar and wind capacity, with an additional 200 megawatts of firmed renewable generation approved at a cost of AUD 680 million.
Fortescue’s share price was little changed at AUD 18.095, up 0.19% from the prior close. The stock trades 2.9% above its 52-week low of AUD 17.435 and 22.6% below its 52-week high of AUD 23.38.
