Glencore H1 earnings rise sharply as energy market volatility boosts performance

Glencore Plc (LON:GLEN) has announced its 2026 Half-Year Report

Glencore’s Chief Executive Officer, Gary Nagle, commented:

“We delivered another strong operational and financial performance for the first half of the year. Our assets performed in line with market guidance, which alongside substantially higher period-over-period average prices for our core commodities and a favourable marketing backdrop, underpinned a material increase in earnings.

“H1 2026 was characterised by the significant repricing of energy and closely related markets and risks, following escalation of the Middle East (ME) conflict. What began the year as a relatively well-supplied energy complex, quickly shifted towards a focus on security of supply and access to physical commodities. Constraints across oil, refined products, LNG and freight capacity, drove heightened volatility across global energy and other markets.

“Against this backdrop, Group Adjusted EBITDA increased 86% to $10.1 billion, while Net income attributable to equity holders increased by more than $5 billion period on period to $4.4 billion.

“Marketing Adjusted EBIT was $3.3 billion, up 142% compared with the prior period, demonstrating the resilience and responsiveness of the business amid heightened geopolitical uncertainty and market volatility. This environment continues to highlight the value of the Group’s marketing, logistics and risk management capabilities, enabling us to efficiently source, transport and deliver essential energy and metals products to customers around the world.

“The Industrial segment contributed Adjusted EBITDA of $6.5 billion, up 72% compared with the prior period, reflecting the significantly stronger commodity price environment and solid operational performance across the portfolio. These benefits were partially offset by a generally weaker US dollar and higher operating costs, exacerbated by the ME conflict supply-chain disruptions, materially impacting the availability and pricing of key inputs and consumables (e.g. diesel, sulphur and sulphuric acid) beyond normal inflationary considerations.

“After making our regular proforma adjustments, Net debt, having declined by $1.0 billion during the period, is in line with our ordinary course of business net debt cap c.$10 billion. Consistent with prior practice, recognising our Bunge shares as surplus capital, we announce today a top-up special cash distribution of $8.5c/per share (c.$1 billion), alongside a new $500 million share buyback to be completed by February 2027. This brings total 2026 announced shareholder returns to c.$3.5 billion.

“In terms of asset development, we remain well positioned to reach copper production volumes of c.1 million tonnes annualised by the end of 2028 and our c.1.6 million target by 2035. We are making good progress across the various projects presented at our December 2025 Capital Markets Day. Some, including the Alumbrera restart, are running ahead of schedule, with its first production now expected in H2 2027 compared to original guidance of H1 2028.

“We are also announcing today that, following a detailed review of opportunities to broaden our investor base and enhance trading liquidity, we intend to apply for a secondary listing on the ASX, targeting admission in October 2026.

“An ASX secondary listing (via CDIs) would provide a number of compelling strategic benefits, both on an absolute basis and relative to other global exchanges. Australia is home to one of the world’s largest and fastest-growing pools of long-term investment capital, with A$4.4 trillion in pension assets expected to grow to approximately A$12.4 trillion by 2045. The market also offers access to a highly sophisticated investor base with deep expertise in the global resources sector.

“An Australian listing is also expected to strengthen our profile in one of our most important operating jurisdictions, broaden our shareholder base, improve trading liquidity and enhance corporate financial flexibility. For Australian investors, it would provide increased access to diversified copper exposure at a time when local investment opportunities have diminished following industry consolidation and M&A activity in recent years.”

1 Refer to basis of presentation on page 6.

2 Refer to page 10.

3 Includes $1,208 million (2025: $1,010 million) of Marketing-related lease liabilities.

4 H1 2026 ratio based on last 12 months’ Adjusted EBITDA, refer to the Alternative performance measures (APMs) section for reconciliation.

◊ Adjusted measures referred to as APMs are not defined or specified under the requirements of International Financial Reporting Standards; refer to the APMs section on page 69 for definitions and reconciliations and to note 3 of the condensed consolidated interim financial statements for reconciliation of Adjusted EBIT/EBITDA.

2026 HALF-YEAR FINANCIAL SCORECARD

–       Industrial Adjusted EBITDA of $6.5 billion, up 72%, primarily reflecting higher commodity prices

–       Marketing Adjusted EBIT of $3.3 billion, up 142%, a near record H1 result, owing to the materially disrupted energy, freight and other markets during the period

–       $10.1 billion overall Group Adjusted EBITDA, up 86%

–       Funds from operations (FFO) of $8.1 billion, up 158%, reflecting the higher Group Adjusted EBITDA noted above

–       Net cash purchase and sale of PP&E: $4.0 billion compared to $3.2 billion in the prior period; substantial part of the increase comprises copper portfolio investments to secure land access to support growth and operational flexibility

–       Net income attributable to equity holders, pre-significant items: $3.7 billion; Net income attributable to equity holders: $4.4 billion, reflecting gains on disposals of non-current assets, recognition of deferred tax assets and impairments

–       Adjusted EBITDA mining margins were 52% for copper, 38% for steelmaking coal and 19% for energy coal

BALANCE SHEET

–       Net debt of $10.2 billion, down $1.0 billion, after $4.0 billion of net capital expenditure, $1.9 billion of non-RMI net working capital and $1.1 billion of shareholder distributions. Net debt includes $1.2 billion of marketing lease liabilities

–       Net funding, increased to $42.4 billion (vs $39.4 billion at the end of 2025), primarily reflecting the impact of higher energy and metals prices on our Readily Marketable Inventories held at period end

–       Available committed liquidity of $14.0 billion; bond maturities maintained around a cap of no more than c.$3 billion in any given year

–       Net debt/Adjusted EBITDA of 0.56x, down from 0.83x

–       Additional shareholder returns of c.$1.5 billion announced today, comprising a $8.5c/share special cash distribution (c.$1.0 billion) and a $500 million buyback, lift full year 2026 returns to c.$3.5 billion

–       Based on current commodity prices and an expected uplift in H2 volumes, particularly for steelmaking coal, we anticipate continued strong cash generation through the remainder of 2026. On this basis, and assuming no significant change, we have calculated a full year 2026 illustrative Adjusted EBITDA of c.$19.7 billion.