Highlights

  • Whitehaven shares surged 2.94% on 29 January 2026, extending one-year gains to 56.36%
  • The company reported December quarter managed ROM production climbed 21% to 11.0Mt, while equity coal sales rose 18% to 7.0Mt
  • Unit production costs were at the low end of FY26 guidance, with H1 FY26 costs estimated at ~AUD 135 per tonne.
  • Net debt declined to around AUD 0.7 billion, with liquidity of approximately AUD 1.5 billion supporting FY26 plans.

Whitehaven Coal Ltd (ASX:WHC) shares rose 2.94% to AUD 9.46 on 29 January 2026, extending the stock’s gains to 56.36% over the past year. Today’s share price movement followed the release of its quarterly production report for the three months ended December 2025. The update outlined higher production, rising sales volumes, improving coal market conditions, and ongoing cost discipline across operations in New South Wales and Queensland.

Favourable Production Momentum Reinforces Investor Confidence

During the December quarter FY26, Whitehaven delivered managed ROM production of 11.0Mt, up 21% quarter-on-quarter, while equity sales increased 18% to 7.0Mt, supported by stronger output from Narrabri in NSW and stable contributions from Queensland operations. For H1 FY26, total managed ROM production reached 20.0Mt, with equity coal sales of 12.8Mt, establishing a solid operational base.

Queensland operations recorded managed ROM production of 5.6Mt, up 20% on the September quarter, reflecting favourable conditions at Daunia and Blackwater.

 In New South Wales, managed ROM production rose 23% quarter-on-quarter to 5.4Mt, driven by a 48% lift in output from Narrabri, with higher sales volumes contributing to lower closing stock levels.

Cost control and balance sheet position remain in focus

Whitehaven reported unit production costs at the low end of its FY26 guidance range of AUD 130 to AUD 145 per tonne, with H1 FY26 costs estimated at around AUD 135 per tonne, subject to audit.

The company remains on track to deliver annualised cost savings of AUD 60 million to AUD 80 million by June 2026.Net debt declined to approximately AUD 0.7 billion at the end of December 2025, supported by operational cash generation.

Liquidity stood at around AUD 1.5 billion, providing capacity to manage upcoming deferred and contingent payments related to the Blackwater acquisition, as well as ongoing capital programs.

Capital Management and FY26 Outlook Remain Gains Attention

Whitehaven continued to return capital during the quarter, repurchasing 4.4 million shares for A$32 million, taking total buybacks in H1 FY26 to 6.3 million shares valued at A$45 million. Buy-back activity reflected a measured approach to cash management and prevailing market conditions.

FY26 guidance remains unchanged, with ROM coal production and sales tracking in the upper half of the guidance range, while unit costs for H1 FY26 are expected to be around A$135 per tonne, subject to audit.

Coal markets show improving dynamics

Metallurgical coal market conditions strengthened during the quarter, with the PLV HCC Index rising month-on-month as supply was constrained by operational issues among Queensland producers and seasonal weather disruptions, including Cyclone Koji. These factors supported firmer pricing across seaborne markets.