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Lynas Rare Earths Limited

LYC.AXBasic MaterialsASX

Other Industrial Metals & Mining

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Financials · Annual
Revenue
$542.7M
+16.8% YoY
Net Income
$8.0M
-90.5% YoY
EBITDA
$116.3M
-32.1% YoY
Free Cash Flow
-$305.2M

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About Lynas Rare Earths Limited

Part of the basic materials sector, Lynas Rare Earths Limited (LYC.AX) is listed under Other Industrial Metals & Mining. With a market capitalization of $19.86B, it sits in large-cap territory. The company holds interests in the Mt Weld rare earths mine and concentration plant near Laverton in Western Australia; a rare earths processing facility in Kalgoorlie, Western Australia; and an advanced materials plant in Gebeng, Malaysia.

Key stats
Market Cap$19.86B
P/E (TTM)246.63
Fwd P/E29.00
EPS$0.08
Beta0.70
52W Change+130.4%
ROE2.9%
Analysis

Lynas Rare Earths Limited holds $1.03B in cash against $212.8M in total debt, giving it a net cash position. This means the company could theoretically pay off all its debt and still have cash remaining. Free cash flow is running at -$305.2M, which bears watching. Negative free cash flow can be acceptable during heavy investment periods but needs to improve over time. ROE of 2.9% points to modest capital efficiency, indicating how much profit the company produces per dollar of shareholder equity. ROA of 1.4% is on the lower side, which is common in asset-heavy industries. Revenue has pulled back from $893.2M (2022) to $542.7M (2025), a 39% decline worth watching.

With cash comfortably exceeding debt, LYC.AX has financial flexibility that may help navigate uncertain periods. Negative free cash flow means the company is currently spending more than it generates, which may require future fundraising or debt if the trend continues. At over 50x earnings, LYC.AX carries valuation risk — any slowdown in growth expectations could lead to meaningful price adjustments. Understanding these risk dimensions helps frame what to watch going forward as conditions evolve for Lynas Rare Earths Limited and its sector.

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