Fortescue sits in Rivkin’s ASX Blue Chip Portfolio. The company reported its FY26 full year result on Thursday 20 August 2026, covering the twelve months to 30 June 2026.
Underlying NPAT rose 3% to US$3.46 billion, landing about 6% short of consensus. Underlying earnings per share slipped 2% to A$1.68. Revenue climbed 9% to US$16.97 billion on record shipments of 201.3 million tonnes, and underlying EBITDA gained 9% to US$8.6 billion at a 51% margin. Statutory NPAT fell 15% to US$2.9 billion after a US$525 million impairment against Iron Bridge. Hematite C1 costs rose 4% to US$18.74 per wet metric tonne, which Fortescue describes as the industry’s lowest.
Directors declared a final dividend of A$0.46 per share fully franked, down 23% on last year’s A$0.60 and below analyst forecasts, taking the FY26 total to A$1.08 at a 65% payout ratio. Management pointed to a stronger Australian dollar. Free cash flow grew 25% to US$3.2 billion, cash sat at US$5.1 billion and net debt at US$0.9 billion.
| Metric | Actual | Comparison |
| Underlying NPAT | US$3.46b | +3% y/y, ~6% below consensus |
| Underlying EPS | A$1.68 | -2% y/y |
| Revenue | US$16.97b | +9% y/y |
| Shipments | 201.3Mt | Company record |
| Hematite C1 cost | US$18.74/wmt | +4% y/y |
| Final dividend | A$0.46 | -23% y/y, below consensus |
FY27 guidance points to shipments of 197 to 207 million tonnes, including 11 to 14 million tonnes from Iron Bridge, C1 costs of US$20.50 to US$21.75 per wet metric tonne at an assumed AUD/USD of 0.70, and capital expenditure of US$3.7 to US$4.7 billion. Fortescue attributes the cost and capex step-up to port maintenance and first spending on the Blacksmith project.
The energy and decarbonisation arm produced first hot metal from the Green Metal Project on 16 August, four days before the result. Fortescue now has more than 1.3GW of solar and wind operating or under construction on the way to a 2.4GW Pilbara grid, part of a US$6.2 billion program targeting its Real Zero goal, and it has started rolling out battery electric haulage. Chief executive Dino Otranto said the company “shipped a record 201.3 million tonnes for the year while cementing our position as the industry’s lowest C1 unit cost producer”, adding that “over the last two years alone, we have saved around $750 million in C1 costs”.
Management gave no update on pricing talks with China Mineral Resources Group. UBS called the result “a touch soft”. The shares closed at A$17.95, down 0.61% on the day.
