Champion Iron Limited Climbs the ASX Gainers List Amid Positive Q2 FY2025 Results

Highlights:

• Strong Quarterly Results: Champion Iron Limited (ASX: CIA) reported FY2025 Q2 results with revenue of AU$351 million, EBITDA of AU$75 million, and EPS of AU$0.04, reflecting resilient performance despite operational challenges.
• Dividend Announcement: The company declared a semi-annual dividend of AU$0.10 per share, underscoring a commitment to shareholder returns.
• Progress on Decarbonization: Champion Iron advanced its DRPF project on schedule and outlined initiatives to achieve 2030 Scope 1 and 2 emission reduction goals, reinforcing its commitment to sustainable iron ore production.

Steady Production and Dividend Announcement Drive Share Price

Champion Iron Limited (ASX: CIA) saw its share price rise by 4.436%, trading at AU$6.120, at the time of writing, after announcing robust results for its second fiscal quarter of 2025. The company reported quarterly production of 3.2 million wet metric tonnes (wmt) and sales of 3.3 million dry metric tonnes (dmt), generating AU$351 million in revenue and AU$75 million in EBITDA. With these results, Champion declared a AU$0.10 dividend per ordinary share, bolstering investor confidence.

Expansion of DRPF Project on Track

The DRPF (Direct Reduction Pellet Feed) project, which aims to upgrade half of Bloom Lake’s capacity to high-grade iron ore, continues to progress as planned, with Champion investing an additional $65 million in the project this quarter. Set for commissioning in the second half of 2025, this initiative aligns with Champion's focus on supporting low-emission steel production. The cumulative investment in DRPF has reached $218 million, underscoring the company's commitment to growth and sustainability.

Commitment to Emission Reduction Targets

Champion Iron also shared progress on its work programs, designed to meet 2030 emission reduction goals and address Scope 1, 2, and 3 emissions. In light of recent challenges such as forest fires affecting operations, the company’s resilience and continued advancements highlight its stability and operational robustness.

CEO David Cataford commented on Champion's "solid performance despite a challenging macroeconomic environment," noting the company's strong balance sheet and production stability. These factors, combined with ongoing project developments, likely contributed to the recent stock price gain, positioning Champion Iron as an attractive investment on the ASX.

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