MP Materials results beat expectations on rising sales, US price support

Rare earths producer MP Materials reported second-quarter results on Thursday that beat analysts' expectations due to rising sales and its price support agreement with the U.S. government.

The company's shares gained 2.2% to $48.52 in after-hours trading.

Rare earths are a group of 17 metals used to make magnets that turn power into motion. Washington's July 2025 deal with MP was designed to loosen China's grip on those materials, which go into weapons, electric vehicles and many electronics.

MP Materials controls the only rare earths mine in North America and processes those critical minerals in California. The company has also built a magnet facility in Texas.

For the quarter ended June 30, the company posted a net loss of $20.3 million, or 11 cents per share, compared to a net loss of $30.9 million, or 19 cents per share, in the year-ago quarter.

Excluding startup costs and other one-time items, MP broke even for the quarter. By that measure, analysts expected a loss of a penny per share, according to IBES data from LSEG.

The results were boosted by $17.6 million in price protection income from the U.S. government. The company has received $110.9 million since those payments started last year.

MP stopped shipping rare earths to China for processing last year, halting a major source of revenue. It has been boosting processing in California and said its quarterly revenue from such processing nearly quadrupled to $94.4 million.

MP Materials has been bringing its Texas magnet facility online. During the quarter, the company posted $16.5 million in magnetics revenue and $7.5 million in adjusted magnetics profit.

The company said it signed an agreement during the quarter to supply gadolinium, one of the 17 rare earths, to an unnamed U.S. aerospace customer.