Pilbara Minerals has delivered its inaugural profit as strong demand for lithium ore lifted revenues nearly sevenfold in the 12 months to June 30.
The Perth company on Tuesday announced it made $561.8 million in net profit after tax in 2021/22, compared to a $51.4 million loss the year before.
Revenue soared 577 per cent to $1.2 billion, as gross margin from the company's Pilgangoora lithium operations near Port Hedland lifted from $46.2 million to $853.5 million.
"FY2022 has been an incredible year for Pilbara Minerals," said managing director and chief executive Dale Henderson, who noted results were achieved despite headwinds from COVID-19, labour and supply shortages and cost inflation.
Spodumene concentrate has been in strong global demand for use in lithium-ion batteries, used to power electric vehicles and consumer electronics.
Pilbara said it sold 361,035 dry metric tonnes of spodumene concentrate over the year for an average price of $US2,382/dmt.
When Pilgangoora first began operations in 2018/2019, it shipped 128,373 dry metric tonnes at an average price of $US674/dmt.
The ASX100 company ended the fiscal year with $591.7 million in cash, but still won't yet pay a dividend and is instead working to expand operations.
"The business is in an enviable position, supplying product into a burgeoning growth market with a clear pathway for further production growth off a performing operating base," Mr Henderson said.
Pilbara shares were up 3.5 per cent to $3.28 at 3.42pm AEST.
