Calix FY26 Revenue Up 16% to $39.2m Amid $51m Net Loss

Record Revenue Growth Anchored by Magnesia Expansion

Calix Limited (ASX:CXL) posted a 16% rise in total revenue and other income for the 2026 financial year, reaching $39.2 million. This was largely fuelled by a 40% surge in product and services revenue from its Magnesia line of business, which hit $34 million. The Magnesia segment, supplying magnesium hydroxide products for sustainable water treatment, has become a reliable revenue engine, underpinned by expanded contracts in both Australia and the United States, including a new U.S. customer contract expected to generate up to $10 million annually.

Substantial Net Loss Reflects One-Off Impairment and Investment in Growth

Despite top-line gains, Calix reported a significant net loss after tax of $51 million, a 156% increase from the previous year. This was heavily influenced by a $30.3 million non-cash impairment related to the restructure and disposal of its interest in the lithium Mid-Stream Demonstration Plant joint venture with PLS Group. The company’s operating expenses fell by 24% to $30 million, reflecting disciplined cost management, yet ongoing investment in research and development and commercialisation weighed on profitability.

Capital-Light Strategy and Improved Cash Flow

Calix markedly reduced its cash capital expenditure by 80% to $2.1 million, aligning with a strategic pivot towards a capital-light, customer-funded licensing model. This shift has helped improve operating cash outflows by 60%, down to $11.4 million. The company held $9.8 million in cash at year-end and received an additional $5.7 million post-balance date from PLS under the lithium project restructure, bolstering liquidity.

Advancing Industrial Decarbonisation with Strategic Partnerships

FY26 saw Calix deepen collaborations with industry leaders. Notably, it secured a Joint Development Agreement with Rio Tinto, bringing over $35 million in cash and in-kind support for its Zesty Green Iron Demonstration Plant, which also received a $44.9 million grant from ARENA. The company completed a pilot-scale material testing program with Hydro to develop near-zero emissions alumina production technology and progressed commercial project pathways with Ambuja Cements in India and a confidential partner in East Asia for cement decarbonisation.

Meanwhile, Calix completed construction and commenced commissioning of its lithium Mid-Stream Demonstration Plant, its first commercial-scale electric calcination facility, with PLS assuming operational responsibility and royalty-free licensing arrangements in place.

Outlook and FY27 Priorities

Looking ahead, Calix aims to build on Magnesia’s momentum by focusing on operational reliability, customer service, and disciplined expansion. It plans to advance paid test campaigns and customer-funded development in Sustainable Processing and pursue financing and a final investment decision for the Zesty Demonstration Plant. The Leilac business will continue to prioritise capital-light, customer-funded projects to demonstrate technology at commercial scale while protecting intellectual property for future licensing opportunities.

Calix’s approach reflects the complex industrial decarbonisation landscape, balancing near-term economic value for customers with long-term sustainability goals. The company’s ability to convert strategic partnerships into funded demonstration projects will be a critical factor in progressing its commercialisation ambitions in FY27.