Iofina plc reported first-half 2026 results showing revenue rose 7% year-over-year to $31.34 million from $29.2 million, while gross profit climbed 62% to $10.2 million from $6.3 million. Earnings per share came in at $0.02, and post-tax earnings totaled $2.5 million, though management noted the prior year was partly bolstered by a government grant.
EBITDA doubled to $6.6 million from $3.3 million. Iodine production increased 29%, adding 88 metric tons year-over-year — 50 metric tons from the IO#11 plant and 18 metric tons from an additional surge at another legacy facility tied to partner drilling activity. Crystalline iodine sales volume rose 31%, while derivative sales grew 17%. Non-iodine derivative sales reached $2.9 million.
Average realized iodine pricing was essentially flat at $74.69 per kilogram compared with $74.27 a year earlier, a 0.6% increase. Direct production costs rose 10%, but the larger output drove the average cost per kilogram down 15%.
The company ended the period with $7.2 million in net cash, reversing a net debt position of $0.8 million a year earlier. Cash stood at approximately $12 million in recent weeks. Operating cash flow was $7.8 million, against capital expenditures of $5.8 million. Total bank debt was $5.7 million, comprising $4 million drawn on a CapEx facility for the IO#11 plant and $1.7 million remaining from a $10 million term loan taken in September 2020. A $6 million revolving line of credit remained undrawn.
Shares initially rose 6.86% to $54.5 after the report, then traded around $52.9, up 3.73% from the prior close, within a 52-week range of $20 to $60.12.
On operations, Iofina completed a new pipeline project at IO#11 in August 2026 with a new brine supplier, expected to lift output at that facility by about 50%, raising capacity from 100 metric tons to between 145 and 160 metric tons. The IO#12 plant in the Permian Basin, built in partnership with Western Midstream to handle roughly 50,000 barrels of water per day, is expected to begin pushing water through the facility within weeks. IO#12 represents the company's fourth plant in four years, with an estimated total capital cost of around $8.8 million, within the originally projected $8 million to $9 million range.
Two newly agreed-upon plants, IO#13 and IO#14, are located in central Oklahoma and are targeted to come online in the first half of 2027. Combined capacity from those plants is expected to exceed the average Oklahoma plant, which typically averages 100 to 160 metric tons.
Iofina's long-term "Pathway to 2000" strategy targets 2,000 metric tons of annual production capacity. Management said the company expects to exceed 1,000 metric tons of annual run-rate capacity once IO#12 is fully online. The global iodine market is projected to reach roughly 40,000 metric tons on an annualized basis in 2026, growing at about 3% annually and requiring roughly 1,200 metric tons of new capacity each year. Chile produces over 60% of the world's iodine, with SQM as the largest manufacturer producing more than a third. Iofina said it is the only global producer extracting iodine from oily or produced brines sourced from third-party oil and gas operations.
The company also referenced the OBBBA bill, signed into U.S. law last July, which enables 100% write-offs for capital expenditures.
