Kenmare Resources (LSE:KMR) swung to a loss in 2025 as softer titanium feedstock markets, reduced shipment volumes, lower prices and a substantial impairment charge weighed heavily on its results. The company posted an adjusted loss after tax of $23.7 million. Mineral product revenue declined 20% year-on-year to $312.1 million, while adjusted EBITDA dropped 63% to $58 million, leaving margins at 19%. Net debt climbed to $158.8 million following peak capital expenditure of roughly $156 million related to the upgrade of Wet Concentrator Plant A.
To address the weaker financial position, the miner halted its final dividend for 2025 and implemented workforce reductions of around 15% at its Moma operation. The company is also seeking covenant relief on its revolving credit facility and has begun cost-reduction initiatives designed to cut operating expenses by about 10% in 2026.
With construction of the WCP A upgrade largely finished and capital spending expected to decline significantly this year, Kenmare plans to reduce existing product inventories while maintaining ilmenite production above 800,000 tonnes. At the same time, it continues negotiations with the Mozambican government to renew the Moma Implementation Agreement, which sets the fiscal framework underpinning the long-term operation of the mine.
Kenmare’s near-term outlook reflects both operational progress and financial pressures. While its historically high dividend yield has provided some investor support, the negative earnings profile and a recent safety incident at the Moma Mine add uncertainty to the investment case.
More about Kenmare Resources
Kenmare Resources is a mining company listed in London and Dublin and ranks among the world’s leading producers of titanium minerals and zircon. Its flagship asset is the Moma Titanium Minerals Mine in northern Mozambique, which supplies roughly 6% of global titanium feedstocks used in products such as paints, plastics and ceramic tiles for customers across more than 15 countries.
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