Lynas Rare Earths’ annual profit slumps on weaker rare earths prices

Reuters | August 27, 2024 | 3:26 pm Australia Rare Earth

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Image: Lynas Rare Earths Ltd.

Lynas Rare Earths posted a 72.8% slide in its annual profit on Wednesday, hurt by weak realized prices and subdued demand from China for most of the year.

Floundering prices of rare earth metals has weighed on earnings of miners like Lynas, due to a combination of oversupply and weak demand from China

The world’s largest producer of rare earths outside China reported a net profit attributable to shareholders of A$84.5 million (US$57.38 million) for the year ended June 30 down from A$310.7 million a year ago.

The result beat the Visible Alpha consensus estimate of A$66.1 million.

The company did not declare a dividend for fiscal 2024.

($1 = 1.4725 Australian dollars)

(By Shivangi Lahiri; Editing by Arun Koyyur and Tasim Zahid)