Aeris Resources Posts $47.9M Profit, Raises $101.6M, and Cuts Debt Early
Aeris Resources has reported a robust half-year performance with a 62% jump in profit, a successful $101.6 million equity raise, and a strategic divestment of North Queensland assets. The company also announced plans to acquire Peel Mining’s South Cobar Copper Project, signaling an aggressive growth trajectory.
- 62% increase in profit after tax to $47.9 million
- 57% rise in adjusted EBITDA to $133 million
- Completed $80 million institutional placement and $21.6 million oversubscribed share purchase plan
- Early repayment of $40 million loan facility, materially deleveraging balance sheet
- Entered binding agreement to sell North Queensland copper assets and announced Peel Mining acquisition
Strong Financial Performance
Aeris Resources Limited has delivered a compelling half-year result for the period ending 31 December 2025, underpinned by rising commodity prices and operational improvements. Revenues increased by 5% to $306.3 million, driven primarily by higher copper production at the Tritton operations and improved gold prices at Cracow. Adjusted EBITDA surged 57% to $133 million, reflecting disciplined cost management and enhanced production efficiencies.
Profit after tax attributable to shareholders rose sharply by 62% to $47.9 million, translating to basic earnings per share of 4.7 cents, up from 3.1 cents in the prior corresponding period. This marks a significant step up in profitability and shareholder value.
Capital Raising and Debt Reduction
In a strategic move to strengthen its financial position, Aeris completed an $80 million institutional placement alongside a $21.6 million oversubscribed share purchase plan at $0.45 per share. The combined $101.6 million equity raise bolstered liquidity and supported growth initiatives.
Following the capital raise, the company repaid its $40 million loan facility with Soul Patts Asset Management Pty Ltd ahead of schedule, significantly deleveraging the balance sheet and reducing interest costs by an estimated $6 million for the remainder of the year. This financial prudence has improved net tangible assets per share to 37.6 cents, up from 32.6 cents six months earlier.
Operational Highlights and Asset Transactions
Operationally, Tritton copper production increased to 11,141 tonnes, benefiting from enhanced resource drilling and mining efficiencies. However, Cracow gold production declined to 19,996 ounces due to lower head grades, despite higher mining volumes and improved gold prices.
Aeris also progressed its strategic portfolio management by entering a binding agreement to divest its North Queensland copper assets to Dingo Minerals Pty Ltd. The transaction includes cash-backed environmental bonds and deferred payments contingent on commercial production milestones, subject to regulatory approvals.
Exploration and Growth Prospects
Exploration drilling at key deposits such as Avoca Tank and Budgerygar has yielded promising high-grade copper intersections, indicating potential resource extensions. The Constellation project received critical development consent, advancing towards construction.
Post period, Aeris announced a transformative acquisition of Peel Mining Limited’s South Cobar Copper Project, which will add significant copper resources to its portfolio. Peel shareholders will receive Aeris shares, resulting in a 20.5% ownership stake in the enlarged group, with completion expected in the 2027 financial year.
Outlook
With a materially strengthened balance sheet, ongoing exploration success, and strategic acquisitions, Aeris Resources is well positioned to capitalise on favourable commodity markets and deliver sustained growth. The company’s focus on operational excellence and portfolio optimisation will be key to unlocking further shareholder value.
Bottom Line?
Aeris Resources’ half-year results and strategic moves set the stage for accelerated growth, but execution risks remain as it integrates new assets and navigates market dynamics.
Questions in the middle?
- How will the integration of Peel Mining’s South Cobar project impact Aeris’ production profile and costs?
- What are the potential risks and timelines associated with the North Queensland asset sale completion?
- How will ongoing rail disruptions affect concentrate shipments and revenue recognition in coming quarters?
