Key Points – Sigma Lithium reported its most profitable quarter since production began, with gross margin of 61% and net profit margin of 26%.
Revenue also jumped sharply, helped by a stronger operating mix and recovering lithium market conditions. – The company made significant progress on deleveraging, cutting total debt to $134 million from $201 million a year earlier and slashing short-term bank trade debt by 75%
It also expects more cash inflows from existing and potential offtake prepayment deals. – Management maintained 2026 production guidance of 200,000 tons and said it is on track to reach 240,000 tons over the next 12 months. Sigma also plans to restart Phase 2 expansion in the second half of the year, which could eventually lift capacity to 520,000 tons. – Sigma Lithium Proves Shorts Wrong: Market Reversal Underway Sigma Lithium (NASDAQ:SGML) reported sharply improved profitability in the first quarter of 2026, with management saying the company has emerged from a lithium down cycle with lower debt, stronger margins and a plan to resume growth construction. Ana Cabral, co-chair and CEO of Sigma Lithium, said on the company’s earnings call that Sigma posted its “most profitable quarter since production started” three years ago.
She highlighted gross margin of 61%, unadjusted EBITDA margin of 39%, operating margin of 33% and net profit margin of 26% for the quarter. – Lithium Grab: 2 Lithium Stocks That Could Be Takeover Targets Cabral said the company’s revenue rose 48% compared with the third quarter of 2025, which she described as the most comparable period because Sigma was then ramping down mining operations to complete an upgrade. Compared with the prior quarter, she said revenue increased 150%. Debt Reduction and Cash Position Management emphasized deleveraging as a key theme of the quarter.