Critical minerals leader Iluka Resources (ASX:ILU) reported a stark statutory net loss of $288 million for the 2025 calendar year, a reversal from the $231 million profit recorded 12 months prior.
The swing into the red was primarily driven by substantial non-cash impairments to its mineral sands facilities and inventory write-downs, signaling a challenging period for the rare earths producer.
The company's operational performance also felt the squeeze of shifting market dynamics.
Underlying group EBITDA dropped to $329 million, a 34% decline from the $499 million posted in 2023.
While Iluka remains a pivotal player in the global energy transition, the combination of softened pricing and asset revaluations has forced a leaner outlook for the immediate term.
Iluka declared a final dividend of 3 cents per share, fully franked, bringing the total full-year payout to 5 cents.
This represents a significant tightening compared to the 8 cents per share distributed in the previous year.
Despite the statutory loss, management remains focused on the strategic ramp-up of its Eneabba rare earths refinery, banking on long-term demand for permanent magnet minerals to offset the current volatility in the mineral sands sector.