Nickel Industries reports strong first-half performance despite challenges

Nickel Industries Limited announced its half-year results for the period ended June 30, 2025, reporting sales revenue of $829.7 million and a gross profit of $114.8 million. Profit after tax reached $25.5 million, an 81% increase from the prior corresponding period. Adjusted EBITDA stood at $159.3 million. RKEF operations saw 62,257 tonnes of Nickel in NPI and sales revenue of $708.8 million, though Adjusted EBITDA for RKEF decreased by 28% to $78.3 million due to lower sales volume and higher nickel ore costs.

Hengjaya Mine demonstrated solid production, with nickel ore mined increasing by 90% to 11,572,453 wmt and sales up 81% to 5,862,644 wmt. This boosted the Mine's Adjusted EBITDA by 76% to $70.3 million, driven by increased limonite prices and reduced operating costs. HNC HPAL production was approximately 40% above nameplate capacity, contributing to a combined HPAL EBITDA of $27.1 million, a 20% increase from the prior period.

The ENC HPAL project is progressing, with commissioning expected to lead to a material increase in group nickel production in 2026. However, commissioning of the integrated nickel refinery has been deferred to early Q1 2026. The company reported net debt of $883 million as of June 30, 2025, and anticipates refinancing in Q4 2025/Q1 2026.