Sigma Lithium Corp (NASDAQ:SGML) stock fell 2.84% (As on April 1, 11:27:24 AM UTC-4, Source: Google Finance) after the company reported first quarter results that fell short of analyst expectations. Despite the earnings miss, Sigma Lithium highlighted operational improvements at its Greentech Industrial Lithium Plant. The company reported record quarterly production of over 77,000 tonnes of its Quintuple Zero Lithium Concentrate in the fourth quarter of 2024, a 28% increase. Sales volumes also rose 28% to 73,900 tonnes. Cash operating margin was of 42% in 4Q24, underlying 41% in FY24. Adjusted EBITDA margin in 4Q24 of 26%, underlying 25% in FY24. CIF China cash operating costs decreased 17% to US$427/t in 4Q24. All-in sustaining costs (AISC) totaled US$592/t in 4Q24. The company strengthened Commercial Strategy in 4Q24 to align with annual restocking trends of chemical refiners, effectively managing seasonality: achieved average sales prices of approximately US$900/t (6% CIF China).

Meanwhile, the company significantly Progressed Plant 2 Construction and concluded procurement of long-lead items, continued detailed engineering, completion of earthworks and foundation construction. The company published an updated NI 43-101 Technical Report for the Grota do Cirilo operations and updated After-Tax NPV8% for the operations at US$5.7 billion, at current prices averaging US$1,000/t for the next three years of operations. The company validated 22 years of operational life with a mineral resource estimate of 107Mt (M&I&I) at 1.40% Li2O, and a mineral reserve estimate at 76 Mt. Sigma Lithium has secured a US$100 million development bank credit line from BNDES to fully fund the construction. The Company decided to continue advancing its construction, despite the current lithium cycle, due to our low capital expenditure intensity (capex per tonne of capacity built). This efficiency is driven in part by the existing infrastructure, which supports the additional Greentech Industrial Plant and enables the company to fast-track construction timelines while controlling costs.

SGML in the fourth quarter of FY24 has reported the adjusted earnings per share of -C$0.08, missing the analysts’ estimates for the adjusted earnings per share of C$0.05. The company had reported the adjusted revenue of C$47.34 million in the fourth quarter of FY24, missing the analysts’ estimates for revenue of C$49.99 million.

Looking ahead, Sigma Lithium issued fiscal year 2025 production guidance of 270,000 tonnes. The company also provided cost guidance, projecting CIF China cash costs of $500 per tonne and all-in sustaining costs of $660 per tonne for FY 2025.