PLS Group Limited (ASX: PLS) has delivered a strong operational performance for the 2026 financial year, achieving record annual production and sales at its Pilgangoora operation in Western Australia. The company produced 879.5kt of spodumene concentrate for the full year, exceeding the top end of its guidance. This success was punctuated by a productive June quarter, which saw revenue climb 31% to A$743 million compared to the previous three-month period.

Operational output for the June quarter reached 214.3kt, a slight decrease from the 232.4kt recorded in the March quarter. Despite this minor variance, the company benefited from a significant boost in realized pricing, which rose 13% to US$2,107/t, up from US$1,867/t in the prior quarter. This pricing environment contributed to a 26% jump in cash margin from operations, which rose to A$579 million from A$461 million in the March quarter.

The company’s balance sheet has seen a substantial improvement, with the cash balance climbing 57% over the quarter to reach A$2,290 million. This increase reflects both strong operating cash flows and the proceeds from an inaugural US$600 million senior notes issuance completed during the period. On the cost side, unit operating costs on an FOB basis rose 18% to A$616/t, up from A$520/t in the March quarter, a trend management attributed to restart activities at the Ngungaju plant and higher fuel costs.

Looking ahead, the company has provided clear milestones for its upcoming growth and development projects. The restart of the Ngungaju plant, which commenced on 1 July, is expected to reach target capacity within four months. Furthermore, the company is preparing for several key project updates, including the release of feasibility study outcomes for the P2000 expansion, which is currently scheduled for the December quarter of 2026. These efforts are part of a broader strategy to leverage the site's existing infrastructure while advancing production capability.

Beyond the Pilgangoora operation, the company is continuing to advance its portfolio. This includes the expected commissioning of its Mid-Stream Demonstration Plant in the September quarter of 2026, which is supported by Australian government grant funding. Additionally, work continues on the Colina project in Brazil, with a feasibility study currently on track for completion in the December quarter of 2027. Investors can look forward to further detail when the company releases its full-year financial results on 24 August 2026.

By meeting its fiscal guidance and maintaining disciplined capital management, the company has positioned itself to navigate the ongoing lithium cycle. The combination of record annual sales volumes and a strengthened cash position provides the business with the necessary optionality to progress its upstream growth initiatives as planned. All operational and financial metrics for the 2026 financial year remained within or exceeded the guidance provided by the board, confirming the company's ability to maintain production targets while managing the cost impacts of plant expansion and commissioning.

Read the full announcement: June 2026 Quarterly Activities Report