Almonty's Cash Pile and Buyback Signal a New Chapter as Sangdong Ramps Up

Almonty's Q2 net earnings hit C$181.8M on C$43M revenue, driven by Sangdong mine ramp-up and C$1.23B cash position.

Almonty Industries has quietly reshaped its financial profile over the past quarter, and the numbers tell a story of a company transitioning from project developer to revenue generator. The tungsten producer closed the second quarter with net earnings of C$181.8 million, swinging from a C$58.2 million loss in the same period a year earlier — though the bulk of that swing, C$173.1 million, came from non-cash revaluation gains on derivatives and warrants.

Revenue for the quarter jumped 498% year-over-year to C$43.0 million, up from C$7.2 million. Mining operations contributed C$26.1 million in segment profit, while adjusted EBITDA reached C$17.6 million — an improvement of more than C$22 million against the prior-year quarter. The operating margin in the mining business stood at 60.7% of revenue.

The engine behind these figures is the Sangdong mine in South Korea, where Almonty commissioned the processing plant in June and began working through a stockpile of ore that had been accumulating on site. At the end of the first quarter, roughly 120,000 tonnes of ore grading 0.24% tungsten trioxide sat on the pad; a further 19,700 tonnes at 0.35% were added during the second quarter, bringing the total inventory to approximately 139,700 tonnes at a blended grade of around 0.25%.

That operational inflection is also visible in cash flow. Half-year operating results flipped from an outflow of C$14.9 million in the prior year to an inflow of C$31.6 million.

A Fortified Balance Sheet

The company's liquidity position has undergone an equally dramatic transformation. Almonty closed an oversubscribed convertible note offering in June, raising US$800 million at a 2.25% coupon with a 2031 maturity. Cash balances climbed from C$268.4 million at the end of 2025 to C$1.23 billion as of June 30, 2026 — the secondary source cites C$1.2 billion for the same date, reflecting rounding. Either way, the company now holds a substantial cushion to fund Sangdong's continued expansion without tapping additional debt in the near term.

That war chest supports a US$300 million share buyback program approved on August 17, covering up to 14.4 million common shares — 5% of issued capital — over a 36-month period that began August 24. Management framed the repurchase as a response to what it views as an undervalued share price despite the mine's progress, positioning Almonty as a key non-China supplier of the strategically important metal.

Corporate Housekeeping and Market Positioning

Several structural changes accompanied the operational ramp. Almonty completed its delisting from the Australian Securities Exchange, citing thin and declining trading volumes relative to its primary listings on the Nasdaq and Toronto Stock Exchange. The company also relocated its corporate headquarters from Toronto to Dillon, Montana, appointed Jorge Beristain as CFO effective June 1, and gained entry to the Russell 1000 and Russell 3000 indices at the end of June.

CEO Lewis Black, writing in a mid-August newsletter, pointed to structural supply constraints in the tungsten market — strategic stockpiling by certain governments, bottlenecks in semiconductor manufacturing, and a widening gap between announced projects and actual production. A supply agreement with Global Tungsten & Powders LLC, extended and expanded in July, locks in higher volumes and improved pricing terms over a considerably longer horizon.

Share Price Dynamics

The market has taken notice of the operational turnaround, though the stock sits below its recent peak. Shares closed Tuesday at €15.07, down 1.6% on the day, but up 38% over the past 30 days and roughly 90% since the start of the year. That leaves the equity about 27% below its 52-week high of €20.61, reached in April.

The buyback announcement and the expanded offtake agreement had provided support in recent weeks. For investors weighing further upside, the critical variable remains execution at Sangdong — converting the stockpiled ore into sustained revenue now that the processing facility is running and the balance sheet can absorb the costs of scaling up. The ASX exit, for its part, reads more as organizational streamlining than strategic redirection.