Deterra Royalties reports $164.2M profit in FY26

• Deterra Royalties delivered a full-year net profit after tax of $164.2 million, up 5% from the prior year.
• The company's shares traded higher following the release of its financial results.
• Record mining volumes and strategic asset sales helped offset lower realised iron ore prices.

Deterra Royalties (ASX:DRR) recorded a full-year net profit after tax of $164.2 million for FY26, rising 5% on strong royalty revenues. Basic EPS climbed to 31.03 cents.

Total revenue from continuing operations grew 6% to $236.2 million, driven by record production and sales volumes at the Mining Area C operation despite lower realised iron ore prices.

The company reported underlying EBITDA of $222.2 million, representing an EBITDA margin of 94%.

"Total consideration from the sale of non-core precious metals assets, acquired primarily as part of the Trident portfolio, delivered US$82 million, for approximately a 28% pre-tax return," stated Jason Neal, Interim Managing Director and CEO.

Deterra generated US$82 million from selling non-core precious metal assets, using $107.6 million received in the first half to reduce net debt to $132.5 million.

Following the announcement, the Deterra Royalties share price was up at $4.34.

The board has determined to pay a final dividend of 10.8 cents per share, fully franked, equating to $57.2 million at a payout ratio of 75% of NPAT. This brings a total full-year dividend of 23.2 cents per share.

The company confirmed that development at the Thacker Pass lithium project is continuing to move forward.