Shares of Yancoal Australia Ltd (YAL.AU) plummeted 6.27% in Wednesday's trading session following the release of its disappointing first-half 2025 financial results. The coal mining company reported a sharp 61% decline in attributable profit to AU$163 million, while revenue slid 15% to AU$2.68 billion compared to the same period last year.
The significant drop in earnings was reflected in the company's per-share figures, with earnings per share (EPS) falling to AU$0.1240, down from AU$0.318 in the first half of 2024. Despite the weak performance, Yancoal's board declared an interim dividend of AU$0.0620 per share, payable on September 19 to shareholders of record as of September 5.
Despite the challenging first half, Yancoal remains optimistic about its full-year prospects. The company stated it is well-positioned to target full-year saleable production at the upper end of its guidance range of 35 million to 39 million tonnes. Additionally, Yancoal aims to achieve this at the mid-point of its full-year cost guidance range of AU$89 per tonne to AU$97 per tonne. However, investors seem to be focusing on the current headwinds, as reflected in today's sharp stock price decline.