South32 FY26 slides: base metals focus drives 28% EBITDA growth

In South32's FY26 financial results announcement on August 27, 2026, the company showcased a strategic shift towards base metals, which contributed to a 28% increase in underlying EBITDA, reaching $2.5 billion. The company's aluminum value chain business is set to be sold to Alcoa for up to $5.6 billion, reinforcing its focus on base metals.

South32's emphasis on base metals and manganese assets is evident in its global footprint, which includes Australia Manganese, Sierra Gorda in Chile, Cannington in Australia, the Hermosa project in Arizona, and the Ambler Metals joint venture in Alaska. The sale of the aluminum business and divestment of lower-returning assets have positioned South32 as a leading upstream base metals company with high-margin producing assets and transformational growth potential.

The company's diversified portfolio includes strategic assets in key mining jurisdictions and a strong balance sheet, with net cash of $283 million despite returning $327 million to shareholders. South32's FY26 financial performance was driven by operational excellence, favorable commodity prices, and disciplined cost management, with operating margins expanding across key commodities.