Fortress Minerals Limited reported net profit of US$9.8 million for the year ended Feb 28 2026, up 64.7 percent year-on-year, as record sales volume offset a marginal easing in iron-ore prices and higher costs.
Revenue rose 14.2 percent YoY to US$64.3 million on the back of a 14.5 percent increase in sales to 724,439 dry metric tonnes (DMT). Earnings per share climbed 50.8 percent to 1.87 US cents. The board has proposed a final cash dividend of 0.472 Singapore cents a share, representing a 20 percent payout ratio; payment is subject to shareholder approval at the forthcoming annual general meeting.
Gross profit expanded 11.8 percent YoY to US$37.3 million, yielding a margin of 58.1 percent. Average realised selling price was broadly steady at US$88.66 per DMT (FY2025: US$88.88), while the average unit cost of sales edged up 2.7 percent to US$33.81 per wet metric tonne, reflecting higher expenditure on materials, labour, blasting and drilling. EBITDA increased 19.0 percent to US$19.3 million. The company did not provide a segmental pre-tax breakdown.
Operating cash flow increased 44.1 percent YoY to US$19.1 million, raising cash and bank balances to US$14.6 million as at end-February. Net asset value stood at 18.49 US cents a share versus 15.20 US cents a year earlier.
Fourth-quarter performance was softer, with sales volume down 37.2 percent YoY to 139,729 DMT and revenue falling 25.1 percent to US$13.5 million, partly due to shipment phasing. The period nonetheless remained profitable, posting net income of US$0.9 million.
Strategic initiatives during the year included two ongoing 24-month offtake agreements and a new 12-month contract signed in April 2026 with a domestic steel mill, extending delivery visibility. At the Bukit Besi mine, a new crushing plant was completed and an on-site solar photovoltaic installation commissioned. Development of an integrated processing facility at the CASB mine advanced to pilot-plant construction, while groundwork at the newly acquired Seri Bandi site began with first production targeted in FY2027. Management also reiterated its intention to pursue disciplined acquisitions, investments and joint ventures to diversify its commodities portfolio and may tap external funding as needed.
Chief executive Dato’ Sri Ivan Chee said the record revenue stemmed from steady execution and resilient regional demand, noting that expanded offtake arrangements enhance commercial visibility. He added that the focus in the coming year will remain on supply reliability, cost control and prudent capital allocation while monitoring volatile steel and freight markets shaped by geopolitical risks and trade dynamics.
Looking ahead, Fortress Minerals expects infrastructure and industrial activity in Southeast Asia to underpin demand for its high-grade iron-ore concentrate, though it cautioned that pricing and procurement decisions will continue to be influenced by China’s market cycle, global overcapacity and logistics disruptions. The group aims to complete its integrated processing facility at Bukit Besi in FY2027 and progress resource-to-reserve conversion at the CASB project as part of its measured growth strategy.