Lithium Argentina Posts Earnings of $0.08 per Share After Year-Earlier Loss
Key Facts
Lithium Argentina reported a return to profitability in the third quarter on November 10, 2026, posting basic and diluted earnings of $0.08 per share, compared with a loss of $0.40 per share in the same period of 2025. The company said net income reached $13.0 million, after a net loss of $64.5 million a year earlier. The turnaround included a contribution from the Cauchari-Olaroz project, with the company’s share of project income rising to $16.8 million, compared with a share of a loss of $52.5 million in the year-earlier quarter. The comparison reflects a change in the project’s contribution; the project is central to the company’s operations in Argentina. LAR shares closed at $4.44 in the November 9 session, before the results were announced.
The company said its third-quarter 2025 loss also included $26.0 million in losses attributable to 2024 that had not been recognized previously. This is part of the context for the year-on-year comparison, alongside the shift in the company’s share of the project from a loss to income. In the current quarter, Cauchari-Olaroz operations delivered stronger performance, according to figures reported by the company. Chief Executive Sam Pigott said Phase 1 achieved an operating cash margin of 67% and operating cash flow of $95 million. Pigott said the project’s performance demonstrates its ability, "quarter after quarter, to generate significant cash flow."
For the project as a whole, lithium carbonate production was 9,550 tonnes in the third quarter, up 3% from the previous quarter. The company said operations reached 95% of design capacity. Production from the start of the year through the end of September was 28,490 tonnes, a level the company said keeps it on track to achieve the midpoint of its 2026 annual production guidance range of 35,000 to 40,000 tonnes. This operational progress places quarterly production in the context of the full-year target, while the financial result continues to depend on the project’s contribution. The company also said higher sales volumes offset a decline in average realized prices when comparing the project’s adjusted earnings with the previous quarter.
The company said the realized price followed the market trend, which came under significant pressure during the quarter, while increased sales volumes helped offset the impact of lower prices on the project’s adjusted earnings compared with the previous quarter. The movement highlights the project’s sensitivity to changes in both price and volume: realized prices fell, but higher sales volumes supported the result. These factors come alongside higher quarterly production and operations running at a high share of design capacity. According to the company, the project’s contribution helped improve its net income compared with last year’s loss. Operating and cash flow figures remain among the indicators that will determine the progress of the expansion plans the company has announced.
The company had $312 million in cash and cash equivalents on September 30, 2026. After the quarter ended, it repurchased convertible notes with a face value of $200 million for about $198 million in cash, while about $59 million remained outstanding. The company said its financial strength and flexibility support its plans, and that Phase 2 funding is targeted to come from cash flows and project-level debt. Phase 2 is planned to add annual production capacity of 45,000 tonnes, lifting total capacity to about 85,000 tonnes a year, with an expected operating life of 40 years. The company aims to accelerate an initial phase with capacity of 10,000 tonnes a year, targeting the start of production in 2028, subject to obtaining the required regulatory approvals.
The company had scheduled its third-quarter results call for November 10, 2026, at 10:00 a.m. Eastern time. The call provides an opportunity to present details of the quarterly results and project plans following the earnings, production and financial announcements. It is scheduled for the same day as the results announcement, according to the company’s timetable. The announced plans also include a phased expansion at Cauchari-Olaroz, starting with the targeted initial phase before the full additional capacity is reached. The targeted start of production in 2028 depends on completing the regulatory approvals.