Fortescue Ltd · ASX:FMG
Fortescue — H1 FY26 Earnings Presentation
36 slides from Fortescue's earnings presentation, Feb 25, 2026
Slide 1: Fortescue
© 2026 FORTESCUE FORTESCUE | 1
Slide 2: Forward Looking Statements Disclaimer
Important Notice The purpose of this presentation is to provide general information about Fortescue Ltd and its subsidiaries (“Fortescue”). It is not recommended that any person makes any investment decision in relation to Fortescue based on this presentation. This presentation contains certain stat
Slide 3: H1 FY26 Highlights
H1 FY26 HIGHLIGHTS 160 LSI 100.2Mt US$18.64/wmt Leading Safety Index Record first half iron ore Industry leading Hematite shipments C1 unit cost US$1.9bn US$1.0bn 65% net debt payout ratio Net profit after tax Robust balance sheet to In line with dividend policy support growth FORTESCUE | 3
Slide 4: Safety
SAFETY 160 1.5 0.04 Leading Safety Index (LSI)1 Total Recordable Injury Critical Incident Frequency Rate (TRIFR) Frequency Rate (CIFR) 1 LSI is a patented, data-driven metric that combines leading and lagging indicators to measure the presence and effectiveness of safety across the organisation. LSI
Slide 5: H1 FY26 Production Highlights
H1 FY26 PRODUCTION HIGHLIGHTS 100.2Mt US$18.64/wmt Record first half iron ore Industry leading Hematite shipments C1 unit cost US$91/dmt 87% Hematite realised price Hematite price realisation1 1Average realisation of Platts 62% CFR Index. FORTESCUE | 5
Slide 6: H1 FY26 Financial Highlights
H1 FY26 FINANCIAL HIGHLIGHTS US$8.4bn US$4.5bn US$1.9bn Revenue Underlying EBITDA Net profit after tax 53% US$52/dmt1 US$0.62 Underlying EBITDA margin Underlying EBITDA per tonne Earnings per share (A$0.95) 1Metals Underlying EBITDA. FORTESCUE | 6
Slide 7: H1 FY26 Financial Highlights
H1 FY26 FINANCIAL HIGHLIGHTS US$3.2bn US$1.5bn Net operating cash flow Free cash flow US$5.8bn US$4.7bn Gross debt Cash on hand FORTESCUE | 7
Slide 8: Shareholder Returns
SHAREHOLDER RETURNS A$0.62 per share 65% of NPAT A$1.9bn Fully franked interim dividend Dividend payout ratio Value of interim dividend FORTESCUE | 8
Slide 9: FY26 Guidance
FY26 GUIDANCE 195 - 205Mt 10 - 12Mt US$400m Total iron ore shipments Iron Bridge Concentrate Energy net operating shipments (100% basis) expenditure US$17.50 - US$3.3 - US$300m US$18.50/wmt US$4.0bn C1 cost for Hematite Metals capital expenditure Energy capital expenditure Guidance is based on an as
Slide 10: Pilbara Operations
PILBARA OPERATIONS Solar and wind locations are subject to FORTESCUE | 10 further studies and regulatory approvals.
Slide 11: Market Backdrop
MARKET BACKDROP STEADY STEEL DEMAND Supported by China manufacturing and export activity ROBUST PRICING Strong demand for Fortescue’s products CUSTOMER FOCUSED Deep and multifaceted relationships FORTESCUE | 11
Slide 12: Iron Bridge
IRON BRIDGE HIGH GRADE PRODUCT Supports lower steelmaking emissions DIVERSIFICATION Enhances Fortescue’s product mix 4.3Mt Iron Bridge Concentrate shipped in H1 FY26 FORTESCUE | 12
Slide 13: Diversity, Inclusion and Equity
DIVERSITY, INCLUSION AND EQUITY REAL DIVERSITY STRATEGY Creating inclusive teams, recognising diversity is about our shared humanity 39% FEMALE EMPLOYMENT In senior leadership roles 15% FIRST NATIONS Australians employed across Pilbara workforce FORTESCUE | 13
Slide 14: Culture and First Nations People
CULTURE AND FIRST NATIONS PEOPLE >A$6.8bn In contracts awarded to Australian First Nations businesses since 2011 ACCESS TO CAPITAL ANZ and NAB programs enabling competitive finance for First Nations businesses >1,600 First Nations people employed through Fortescue’s Vocational Training and Employmen
Slide 15: Delivering Real Zero
DELIVERING REAL ZERO REAL ZERO TARGET 1 No voluntary carbon offsets PROFITABLE DECARBONISATION Delivering a return on investment ELECTRIC FLEET BUILD Electric drill, locomotives and excavators operational 1Aims to eliminate Scope 1 and 2 emissions from our Australian terrestrial iron ore operations
Slide 16: Renewable Generation and Storage
RENEWABLE GENERATION AND STORAGE 1GW OF SOLAR In immediate pipeline expected to commence construction this year BATTERY STORAGE Large scale battery storage delivered at North Star Junction 133MW WIND PROJECT Under construction at Nullagine, incorporating Nabrawind technology FORTESCUE | 16
Slide 17: Global Partnerships
GLOBAL PARTNERSHIPS RENEWABLE ENERGY LONGi, Envision Energy and Nabrawind BATTERY SYSTEMS Fortescue Zero and BYD ELECTRIC MINING EQUIPMENT XCMG, Liebherr, Epiroc and MacLean FORTESCUE | 17
Slide 18: Growth and Energy
GROWTH AND ENERGY METALS Diversified portfolio of metals and critical minerals with a focus on iron ore and copper ENERGY Pipeline of electron and molecule opportunities being assessed for viability and timing TECHNOLOGY Integration of value-adding technologies into our portfolio of projects FORTESC
Slide 19: Belinga Iron Ore Project, Gabon
BELINGA IRON ORE PROJECT, GABON EXPLORATION Drilling campaign ongoing STUDIES ADVANCING For a potential large-scale development SKILLS DEVELOPMENT Upskilling Gabonese through Australia exchange FORTESCUE | 19
Slide 20: Green Metal
GREEN METAL PILBARA’S NEXT CHAPTER Ensuring the Pilbara remains globally competitive TECHNOLOGY DRIVEN Advancing multiple technology pathways CUSTOMER FOCUS Partnering with steel makers and potential green steel end users FORTESCUE | 20
Slide 21: Exploration
EXPLORATION COPPER Announced the acquisition of the remaining 64% of Alta Copper PILBARA Mindy South, Nydinghu, Wyloo North and White Knight Project GLOBAL Australia, Gabon, Latin America, Kazakhstan and Canada FORTESCUE | 21
Slide 22: Innovation and Technology
INNOVATION AND TECHNOLOGY FORTESCUE ZERO Delivering integrated solutions to enable a zero- emissions future ELYSIA + ZITARA Battery analytics and controls NABRAWIND Integrating innovative self-elevating tower technology FORTESCUE | 22
Slide 23: Energy
ENERGY GREEN ENERGY R&D Clear focus on long-term value creation and cost reduction PROJECT PIPELINE Projects to progress when economically viable FORTESCUE CAPITAL Driving investment in the global energy transition FORTESCUE | 23
Slide 24: H1 FY26 Results
H1 FY26 RESULTS FORTESCUE | 24
Slide 25: Earnings
EARNINGS Half year earnings profile Revenue (US$m) Underlying EBITDA (US$m) Underlying NPAT1 (US$m) 9,512 8,708 8,439 5,912 3,337 7,903 7,638 4,796 4,486 4,300 2,346 3,641 1,820 1,914 1,553 H1 FY24 H2 FY24 H1 FY25 H2 FY25 H1 FY26 H1 FY24 H2 FY24 H1 FY25 H2 FY25 H1 FY26 H1 FY24 H2 FY24 H1 FY25 H2 FY2
Slide 26: Earnings Reconciliation
H1 FY25 NPAT 1,547 Iron ore, shipping and other operating 803 revenue Cost of sales (156) Metals Administration and (27) research Other income and (10) expenses Group Underlying EBITDA Revenue, cost of sales, other income 27 and expenses Energy Administration and 137 research H1 FY25 vs H1 FY26 NPAT
Slide 27: Price Realisations
PRICE REALISATIONS H1 FY26 Hematite realised price of US$91/dmt Hematite price realisation of the Platts 62% CFR Index Platts 62% CFR Index (US$/dmt) 88% 87% 160 85% 85% 84% 84% 83% 140 82% 120 100 80 60 40 20 0 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Jan 24 Apr 24 Jul 24 Oct
Slide 28: Prices and Margins
PRICES AND MARGINS Robust pricing and strong cost control Prices and Metals Underlying EBITDA (US$/dmt) 160 140 120 100 80 63 65 60 60 52 48 40 20 0 FY22 FY23 FY24 FY25 H1 FY26 Metals Underlying EBITDA Platts 62% CFR Index Hematite realised price Avg Hematite realised price Avg Metals Underlying EBI
Slide 29: Cash Generation
CASH GENERATION Generating strong operating and free cash flow Net cash flow from operations (US$m) Capital expenditure (US$m)1 Free cash flow (US$m)2 4,170 4,044 2,655 3,749 2,138 2,453 3,203 1,792 1,667 1,523 1,894 2,430 1,372 1,544 661 H1 FY24 H2 FY24 H1 FY25 H2 FY25 H1 FY26 H1 FY24 H2 FY24 H1 FY
Slide 30: Capital Expenditure
CAPITAL EXPENDITURE Disciplined capital investments H1 FY26 capital expenditure and investments (US$m) FY26 capital expenditure and investments guidance (US$m) 541 762 100 300 426 US$3.6 - US$1.7bn 900 - 1,200 US$4.3bn 2,000 - 955 2,300 156 300 - 400 Sustaining and Hub Development Decarbonisation Ot
Slide 31: Strong Balance Sheet
STRONG BALANCE SHEET Diversified and balanced debt maturity profile Gross debt (US$m) Debt maturity profile excluding leases – principal (US$m) 5,756 5,400 5,439 5,439 5,318 1,025 ~2,000 1,000 800 600 450 247 H1 FY24 H2 FY24 H1 FY25 H2 FY25 H1 FY26 FY26 FY27 FY28 FY29 FY30 FY31 FY32 FY33 FY34 FY35 F
Slide 32: Robust Credit Metrics
ROBUST CREDIT METRICS Gross debt to EBITDA to not exceed 2x and gross gearing to not exceed 40 per cent, through the cycle Gross debt to EBITDA (x) Gross gearing (%) 0.7 0.7 26% 0.6 23% 22% 21% 22% 0.5 0.5 FY22 FY23 FY24 FY25 H1 FY26 FY22 FY23 FY24 FY25 H1 FY26 FORTESCUE | 32
Slide 33: Return on Capital
RETURN ON CAPITAL Profitable and capital efficient Return on equity (%) Return on capital employed1 (%) 35% 36% 31% 30% 27% 27% 20% 19% 19% 17% FY22 FY23 FY24 FY25 H1 FY26 FY22 FY23 FY24 FY25 H1 FY26 1ROCE is calculated as earnings before interest and tax divided by average capital (total assets min
Slide 34: Delivering Returns to Our Shareholders
DELIVERING RETURNS TO OUR SHAREHOLDERS Policy to pay out 50-80% of Underlying NPAT Dividends declared (A$/share) and payout ratio (%) 80% 78% 77% 75% 70% 65% 65% 65% 62% 3.58 52% 36% 2.07 1.97 1.76 1.75 1.14 1.10 0.62 0.45 0.15 0.23 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 H1 FY26 Dividends
Slide 35: Disciplined Capital Allocation
DISCIPLINED CAPITAL ALLOCATION Delivering Maintaining Investing in returns to balance sheet growth and shareholders strength development 50-80% payout BB+/Ba1 Value creation of Underlying NPAT, Committed to targeting Metals, energy and dividend policy strong credit ratings technology opportunities F
Slide 36: We Are Fortescue
WE ARE Family FORTESCUE Empowerment Frugality Stretch Targets Integrity Enthusiasm Safety Courage and Determination Generating Ideas Humility FORTESCUE | 36