Highlights

  • Saleable coal production reached 11.5 million tonnes and coal sales totalled 11.8 million tonnes in FY26.
  • Underlying EBITDA was $514.3 million, while net profit after tax was $161.0 million.
  • Group FOB cash costs increased to $88.9 per tonne during the year.
  • Bengalla returned to its 13.4Mtpa ROM production rate in the second half as New Acland continued its Stage 3 ramp-up.
  • The board declared a fully franked final Dividend of 30.0 cents per ordinary share.

New Hope Corporation Limited (ASX:NHC) is an ASX-listed Australian coal producer with associated port and agricultural operations, operating the Bengalla Mine in New South Wales and the New Acland Mine in southeast Queensland. Its FY26 result combines higher production and sales with lower earnings, highlighting the effect of higher operating costs and Depreciation on the financial outcome.

Higher Volumes, Lower Profit

For the year ended 31 July 2026, saleable coal production rose to 11.5 million tonnes and coal sales reached 11.8 million tonnes. Both figures were at or above the top of the company's guidance range of 10.2 million to 11.5 million tonnes. New Acland's continued ramp-up and Bengalla's improved second-half performance supported the increase in volumes.

Financial results moved differently. Underlying EBITDA was $514.3 million and net profit after tax was $161.0 million. The company said profit was affected by higher costs from increased prime overburden movement and by increased depreciation on plant and equipment supporting the Bengalla Growth Project and the New Acland ramp-up.

Costs and Cash Position

Group Free on Board cash costs rose to $88.9 per tonne. New Hope linked the increase mainly to higher overburden activity at Bengalla as the mine worked to re-align its pit sequence. Even with the higher cost base, cash generated from Operating Activities was $564.1 million, while available cash stood at $778.5 million at 31 July 2026.

The board declared a fully franked final dividend of 30.0 cents per ordinary share, payable on 15 October 2026. Earlier in 2026, the company had also declared a fully franked Interim Dividend of 10.0 cents per ordinary share.

Bengalla and New Acland Remain Central

Bengalla spent part of FY26 recovering its pit sequence after weather-related disruption. By the second half, the operation had returned to the 13.4Mtpa run-of-mine coal production rate on a 100 per cent basis. This recovery supported the group's full-year production result, although the extra overburden work also increased costs.

New Acland continued its Stage 3 ramp-up during FY26, with increased production and sales. Development work is progressing toward access to the Manning Vale West pit in the final quarter of calendar 2026, which the company expects to support the next stage of mine activity.

What the FY26 Numbers Indicate

The FY26 result shows that higher tonnes do not automatically produce higher earnings. Production growth can support Revenue and cash flow, but profitability still depends on the Margin between realised coal prices and the cost of producing and delivering coal. In New Hope's case, higher mine activity and depreciation reduced the financial benefit of increased volume.

Attention now shifts to whether Bengalla can sustain its recovered production rate and whether New Acland continues to increase output as Stage 3 progresses. Future reporting will also show whether unit costs moderate as mine plans stabilise and additional capacity is brought into use.

Key Insights

New Hope entered FY27 with higher production capacity, substantial available cash and both major mines contributing to the group's operating profile. FY26 also demonstrated the importance of cost discipline: production growth was achieved, but higher operating costs and depreciation reduced earnings. Coal volumes, unit costs and realised pricing therefore remain the key financial variables for assessing subsequent results.