Jupiter Mines Posts Strong Q4 FY2026 with Record Sales and Stable Costs
Jupiter Mines’ stake in the Tshipi manganese mine delivered a robust quarter with production and sales beating expectations, while EBITDA rose on firmer manganese prices despite a slight uptick in unit costs.
- Q4 production up 14% quarter-on-quarter to 966,183 tonnes
- Sales increased 12% to 943,740 tonnes, exceeding full-year targets
- EBITDA rose 6% quarter-on-quarter to A$34.2 million
- Unit production costs stable at US$2.48 per dmtu FOB
- Chinese port manganese stocks near average levels amid moderated prices
Production and Sales Surpass Expectations
Jupiter Mines Limited (ASX:JMS) closed FY2026 on a high note, with its 49.9% owned Tshipi manganese mine ramping up production and sales volumes in the June quarter. Production jumped 14% quarter-on-quarter to 966,183 tonnes, while sales rose 12% to 943,740 tonnes. This pushed full-year sales to 3.49 million tonnes, comfortably above the historical average of 3.4 million tonnes annually.
The boost in production was driven by a 16% increase in high-grade ore output and a 2% rise in low-grade ore. Mining volumes of graded ore climbed 22% due to intensified barrier pillar mining, while waste mining volumes also increased 14% from the previous quarter.
Financial Performance Strengthened by Higher Manganese Prices
EBITDA for the quarter rose 6% to A$34.2 million, reflecting a favourable lift in manganese prices. Net profit after tax (NPAT) edged up slightly to A$21.4 million. Unit production costs remained largely steady, dipping 1% quarter-on-quarter to US$2.48 per dry metric tonne unit (dmtu) FOB, though still 5% higher than the prior year.
Cash at Tshipi was stable at A$129.4 million despite year-end tax and royalty payments, while Jupiter’s attributable cash decreased modestly due to corporate outflows. The South African Rand held steady against the US Dollar and Australian Dollar, with no significant currency swings impacting the quarter.
Market Dynamics and Logistics
The manganese ore market saw some price moderation during the quarter, with the Fastmarkets manganese ore semi carbonate index falling from US$5.16/dmtu in March to US$4.64/dmtu in June. However, prices remained above the four-year average and supported by steady demand. Freight costs from Port Elizabeth to Tianjin decreased 8% to US$33.80 per tonne by quarter-end, easing concerns from earlier geopolitical tensions, though they climbed again to US$38.70 per tonne by late July.
Chinese port inventories of manganese ore rose slightly to 5.6 million tonnes, near recent average levels. This inventory build, combined with moderated prices, has prompted some producers to reduce output, supporting a more balanced market outlook in the near term.
Safety and Operational Stability
Tshipi maintained a strong safety record with zero lost time injuries during the quarter and a stable total recordable injury frequency rate (TRIFR) of 0.37. This continues a positive trend in operational discipline amid increased mining activity.
Investor Engagement and Next Steps
Jupiter Mines has scheduled an investor call for 31 July 2026 to discuss the quarterly results and outlook. With manganese prices and freight rates showing volatility post-quarter, market participants will be keen to hear management’s view on how these factors might influence FY2027 performance.
Bottom Line?
Jupiter’s strong finish to FY2026 underscores operational resilience and market positioning, but manganese price and freight rate fluctuations warrant close monitoring.
Questions in the middle?
- How will ongoing manganese price volatility affect Tshipi’s margins in FY2027?
- Can Jupiter sustain higher production levels amid potential supply chain disruptions?
- What impact will fluctuating freight costs have on overall profitability?
