MP Materials Q3 Revenue Rises as NdPr Sales Nearly Double

MP Materials Corp. (NYSE: MP) reported sharply higher third-quarter 2026 revenue and a return to positive adjusted earnings as increased neodymium-praseodymium production translated into substantially higher sales volumes. The rare earth producer also said commercial dysprosium and terbium production and revenue from saleable magnet deliveries to General Motors are set to begin in the fourth quarter.

For the three months ended September 30, consolidated revenue rose to $147.7 million from $53.6 million a year earlier. Including $8.1 million of price protection agreement income, revenue and PPA income totaled $155.8 million, compared with $53.6 million in the prior-year quarter.

Adjusted EBITDA was $41.1 million, reversing an adjusted EBITDA loss of $12.6 million a year earlier and increasing from $28.5 million in the second quarter. Adjusted net income was $8.8 million, or $0.04 per diluted share, compared with an adjusted net loss of $17.8 million, or $0.10 per share, in the third quarter of 2025.

On a GAAP basis, MP Materials remained unprofitable, although its net loss narrowed to $20.7 million, or $0.12 per share, from $41.8 million, or $0.24 per share, a year earlier. The operating loss narrowed to $22.1 million from $67.0 million. Third-quarter expenses included $36.1 million of depreciation, depletion and amortization and $14.2 million of start-up costs, primarily associated with commissioning and starting initial magnet-making capabilities before commercial production.

NdPr volumes strengthen Materials results

The Materials segment produced 1,018 metric tons of NdPr during the quarter, up 41% year over year from 721 metric tons. NdPr sales volumes increased 94% to 1,020 metric tons from 525 metric tons, including intercompany sales to the Magnetics segment.

Overall rare earth oxide production was 12,887 metric tons, compared with 13,254 metric tons in the prior-year period and 11,072 metric tons in the second quarter.

Materials segment revenue and PPA income reached $141.6 million, up from $31.6 million a year earlier. That total included $133.5 million of segment revenue and $8.1 million of PPA income. Segment adjusted EBITDA was $47.8 million, compared with a $14.5 million loss in the third quarter of 2025. The segment figures include revenue and profit from intercompany transactions with Magnetics.

MP Materials also sold SEG+ material to a strategic customer at what it described as favorable pricing. The company expects commercial production of separated dysprosium and terbium, two heavy rare earth elements, to commence in the fourth quarter.

Magnetics prepares for commercial deliveries

The Magnetics segment generated revenue of $18.6 million and adjusted EBITDA of $5.3 million. That compared with revenue of $21.9 million and adjusted EBITDA of $9.5 million a year earlier.

The company completed General Motors magnet qualification during the quarter and said saleable deliveries and associated revenue will begin in the fourth quarter. Construction of its planned 10X magnet facility remains on schedule, according to the presentation.

MP Materials did not provide broader financial guidance in the presentation. Its stated near-term operational milestones center on beginning Dy/Tb production, initiating qualified magnet deliveries and continuing construction of the 10X facility.

Those plans remain subject to execution and funding risks. MP Materials highlighted the importance of successfully ramping its separation and magnet operations, completing the 10X facility and meeting obligations under its long-term agreement with Apple. It also cited uncertainty surrounding government appropriations and support for its transactions with the U.S. Department of War, as well as the challenge of finding alternative customers for specialized products if that partnership changes or ends.

Other identified risks include restrictions on transactions with non-U.S. customers, changes in tariffs and government trade policies, and volatility in rare earth and magnet demand, pricing and sales volumes.