Sims Limited FY26 slides: EBIT surges 168% on AI, metal strength
Sims Limited (ASX:SGM) disclosed its FY26 financial results on August 18, 2026, revealing a significant earnings growth fueled by the surge in artificial intelligence infrastructure demand and metal pricing strength. The company's underlying EBIT rose 167.6% to AUD 468.0 million, while the return on invested capital climbed to 11.7%, surpassing its cost of capital for the first time in recent years.
Despite the robust performance, shares decreased by 12.78% to $22.52 due to investor apprehensions regarding near-term growth in the Sims Lifecycle Services (SLS) division and the durability of recent pricing strength. The stock is currently 29% below its 52-week high of $31.81.
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