Key facts
- MP Materials reported a second-quarter net loss of $20.3 million, or 11 cents per share.
- This loss narrowed from $30.9 million, or 19 cents per share, in the year-ago quarter.
- The company attributed the improved results to rising sales and a price support agreement with the U.S. government.
- MP Materials' production of neodymium and praseodymium (NdPr) jumped 119% to 597 metric tons in Q2.
- The company's adjusted loss per share of 13 cents beat analyst expectations of 19 cents.
MP Materials reported a narrower net loss for the second quarter, exceeding expectations due to increased sales and a price support agreement with the U.S. government. The company posted a net loss of $20.3 million, or 11 cents per share, compared to a $30.9 million loss, or 19 cents per share, in the same period last year.
The Las Vegas-based miner, which operates the sole U.S. rare earths mine in Mountain Pass, California, has been a key focus in efforts to reduce reliance on China for critical minerals. Global rare earth demand is projected to grow by 8.2% annually through 2030, driven by the electric vehicle and defense sectors.
MP Materials' production of neodymium and praseodymium (NdPr) surged 119% to 597 metric tons in the second quarter. This output increase contributed to the company's adjusted loss per share narrowing to 13 cents, which was better than the expected 19 cents.
Following the announcement, MP Materials' shares rose more than 12% in after-hours trading, extending a year-to-date gain of nearly 356%. The company recently secured a multibillion-dollar government deal to expand rare earth magnet production and a $500 million supply agreement with Apple.