Largo Inc. (TSX: LGO) (NASDAQ: LGO), the world's largest primary vanadium producer, has reported a robust second quarter for 2026, with revenue surging 68.5% to $44 million compared to $26.1 million in the same period last year. The company attributed this growth to a 28.5% increase in vanadium pentoxide production to 2,900 tonnes and a 53.5% rise in sales to 2,773 tonnes. Adjusted EBITDA improved significantly to $2.7 million from $34,000, while Mining Operations Adjusted EBITDA rose 64.8% to $4.4 million. Despite a net loss of $22.7 million, which included noncash items and higher costs, the company ended the quarter with $5.1 million in cash and $114.2 million in debt. Largo reiterated its 2026 guidance for V2O5 equivalent production of 10,500 to 12,000 tonnes and sales of 7,500 to 9,500 tonnes.
Subsequent to the quarter, Largo secured a $60.1 million delivery order from the U.S. Defense Logistics Agency Strategic Materials, underscoring its role as a critical supplier for national defense. The company also began full-scale copper-platinum group metals (PGM) concentrate production at its Maracás Menchen Mine in Brazil, following regulatory approval. This new production stream is expected to yield approximately 300 to 380 tonnes per month, with an average grade of about 15% copper and 41 grams per tonne of PGMs, creating an additional revenue stream using existing infrastructure. The company also noted stronger vanadium pricing during the quarter, including a 45.8% increase in the average U.S. ferrovanadium benchmark price from a year earlier.
The positive results and strategic developments highlight Largo's position in the critical materials sector. The company's vanadium products are essential for steel, aerospace, defense, chemical, and energy storage industries. Additionally, Largo's investment in clean energy storage through its 37.4% ownership of Storion Energy, a joint venture with Stryten Energy, positions it to benefit from the growing demand for long-duration energy storage solutions. The company also holds interests in tungsten properties in Canada and Brazil, diversifying its portfolio.
For more information, visit Largo's website or view the full press release here.
