Sigma Lithium Corporation (SGML) shares climbed on Friday after the lithium producer delivered third-quarter results that showed meaningful revenue growth and a narrowing loss.
The Numbers Tell a Recovery Story
Sigma Lithium posted third-quarter revenue of $28.5 million, with an EPS loss of 10 cents compared to a loss of 23 cents in the same quarter last year. That's progress, and investors noticed.
The company reported net revenue growth of 69% quarter-over-quarter and 36% year-over-year, powered by a commercialization strategy that took advantage of seasonal lithium pricing dynamics and provisional pricing mechanisms. Translation: they sold when prices were better and structured deals to capture upside.
Sales volumes rose 21% quarter-over-quarter, providing another tailwind. Meanwhile, the average SC6 provisional price increased 33% quarter-over-quarter to $847 per ton. When you combine higher volumes with better pricing, revenue tends to follow.
As of September 30, 2025, Sigma Lithium had $6.1 million in cash and cash equivalents on hand.
Operations Are Improving
After upgrading its Greentech plant in November 2024, recovery levels have consistently topped 70% since January 2025. That's the kind of operational efficiency that matters when you're trying to scale production profitably.
Looking ahead to 2026, the company plans to reach the full Greentech industrial plant capacity of 300,000 tons—a milestone it already hit once in the fourth quarter of fiscal 2024.
In a significant operational shift, Sigma Lithium took over mining operations from its previous contractor and is now leasing equipment directly from manufacturers through low-interest offtake agreements in Asia. The company expects mining to restart by the end of November and reach full ramp-up by the first quarter of fiscal 2026.
Revenue From Settlements and Sales
Sigma Lithium generated $24 million from final price settlements related to sales completed by the third quarter of 2025. The company expects to collect an additional $4 million from incremental settlements.
On top of that, it anticipates receiving $33 million from the sale of 950,000 tons of high-purity lithium materials. That's real cash coming in the door, which matters when you're managing a balance sheet in a capital-intensive business.
What Management Sees Ahead
Sigma Lithium expects CIF China cash costs of $440 per ton in both fiscal 2026 (Phase 1 only) and fiscal 2027 (Phase 1 plus Phase 2).
The company projects all-in sustaining costs at $560 per ton in fiscal 2026, dropping to $503 per ton in fiscal 2027 as operations scale.
Production volume is expected to reach 300,000 tons in fiscal 2026 and 550,000 tons in fiscal 2027. If those targets hold and pricing cooperates, the company could be looking at a much healthier financial picture.
Price Action: SGML shares were trading higher by 5.68% to $6.235 at last check Friday.