Whitehaven Coal reported a 29% decline in full-year profit as weaker coal prices and currency headwinds outweighed gains from increased output and lower costs. The Sydney-listed miner posted underlying net profit after tax of A$227 million for the year ended June 30, down from A$319 million a year earlier.
Underlying earnings before interest, tax, depreciation and amortisation fell 8% to A$1.25 billion, while revenue decreased 7% to A$5.4 billion. Managed run-of-mine production rose 3% to 40.3 million tonnes, and managed sales of produced coal increased 8% to 32.7 million tonnes, reflecting operational improvements.
Average achieved coal prices declined to A$202 per tonne from A$214 per tonne, pressuring margins despite unit costs improving to A$132 per tonne from A$139 per tonne. The company noted that a stronger Australian dollar further eroded profitability.
Shares in Whitehaven Coal fell 4.2% to A$7.435 in early trading, extending declines after the results. The miner forecast managed ROM production of 38-41 million tonnes for the current fiscal year, down from 40.3 million tonnes in the prior year, with coal sales expected between 30.4 million and 33 million tonnes. Unit costs are projected at A$132-A$147 per tonne, while capital expenditure is forecast at A$390-490 million.
Premium hard coking coal prices are currently trading at A$215-A$235 per tonne for the start of the 2027 fiscal year, up from A$180-A$190 a year prior, while thermal coal prices have also strengthened, providing some support to the outlook.
