EAST PERTH, Western Australia: Lynas Rare Earths Limited reported its highest-ever quarterly revenues on July 26 due to demand for the company's niche metals, which drove up its stock to a record-breaking high, performing the best in eight years.
The company's Q4 revenues soared to 185.9 million Australian dollars, an over three-fold increase from 38 million AUD in 2020, driving the shares up nine percent to reach 7.01 AUD, the highest recorded since January 2013.
The demand for neodymium and praseodymium -- rare earth metals -- returned after a fall in 2020 amid rising interest in electric vehicles.
Praseodymium is also a component used in magnets for wind energy production, found in smartphones and military gear, and the company, along with several manufacturers in the West expect to gain from the steps taken by the U.S. to lower dependence on Chinese niche minerals.
"Demand for Lynas products, in particular for our NdPr product family, continued to be very strong through the quarter, leading to record sales and cash collections," Amanda Lacaze, the company's CEO, stated.
Lacaze attributed a quarterly decline in pricing to a "normal correction after the sharp and speculative increases seen in the previous months," whilst pointing to them having increased once more during the current month.
The company reported praseodymium production for the quarter to have reached 1,393 tons, as compared to 775 tons in the same quarter in 2020. The company's entire gamut of products saw its selling price averaging 39.1 Australian dollars per kilogram, rising in comparison to 20.2 AUD per kilogram in 2020.