Daily Roundup

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Strong Quarter for Whitehaven Coal as Production and Sales Surge

Whitehaven Coal has reported a solid December 2024 quarter, with managed ROM production of 19.4 million tonnes and total equity sales of produced coal reaching 7.8 million tonnes - a 22% increase from the previous quarter. The company's Queensland operations delivered 4.6 million tonnes of ROM production, while its New South Wales mines produced 5.1 million tonnes, up 17% quarter-on-quarter.

Whitehaven is on track to deliver firmly in the upper half of its FY25 production and sales guidance, while unit production costs are tracking at the lower end of the company's full-year cost guidance range. The strong performance is underpinned by robust demand for Whitehaven's metallurgical coal, particularly from India, as well as expected continued demand for high-CV thermal coal amid a structural supply shortfall.

Pilbara Minerals Maintains Operational Momentum

Pilbara Minerals Ltd has reported continued strong operational performance, with 188.2 thousand dry metric tonnes of spodumene concentrate production in the December quarter. The company successfully transitioned to its P850 operating model, placing the Ngungaju plant into care and maintenance. Despite lower sales volume, revenue increased by 3% to $216 million, reflecting higher prices.

Pilbara Minerals maintains a strong balance sheet position, with a cash balance of $1.2 billion at the end of the quarter. The company's P1000 Project expansion remains on schedule and on budget, with wet commissioning currently underway.

PlaySide Studios Revises FY25 Guidance Amid Challenges

Australia's largest video game developer and publisher, PlaySide Studios, has reported unaudited 1HFY25 results, with revenue down 21% year-on-year to $28.5 million and an EBITDA loss of $2.8 million. The company has reduced its FY25 guidance, citing slower-than-expected work-for-hire opportunities and lower-than-expected sales for its original IP title "Kill Knight".

For the full year, PlaySide now expects revenue of $50-54 million, comprising $17-18 million in original IP revenue and $33-36 million in work-for-hire revenue. The company also anticipates an EBITDA loss of $6-10 million and a closing cash balance of $10-15 million. Despite the near-term challenges, PlaySide remains excited about its pipeline of original IP titles, including "MOUSE: P.I. For Hire", a Game of Thrones real-time strategy game, and a Dumb Ways to Die console title, all expected to launch from the second half of 2025 onward.

Close the Loop Terminates Acquisition Talks, Updates 1H25 Outlook

Close the Loop Ltd has announced the termination of discussions with Adamantem Capital regarding the latter's acquisition proposal. The company remains confident in delivering its strategic plan as a standalone entity, including capturing the significant global growth opportunity in IT refurbishment.

In a separate update, Close the Loop expects its 1H25 revenue to be broadly in line with the prior corresponding period, but EBITDA to be in the range of $11 million to $13 million. This is due to a temporary unfavourable shift in business mix and a delay in the opening of the Mexicali facility, which the company is actively addressing.

Euroz Hartleys Reports Stellar First-Half Results

Euroz Hartleys Group Limited has reported strong first-half results, with total revenue expected to exceed $50 million and net profit after tax of approximately $6.25 million - a 501% increase compared to the previous corresponding period. The company's diverse revenue streams and focus on recurring revenues have driven this growth, with both Wholesale and Private Wealth brokerage revenues up significantly.

Euroz Hartleys has also announced an increase in its interim dividend to 2 cents per share, fully franked. The company remains optimistic about its financial outlook and market position, leveraged to a solid overall outlook for commodities, an improving IPO and M&A pipeline, and a growing need for meaningful financial advice.