MP Materials Q1 2025 report with U.S. magnet production kicking off

[Invest-in-USA]

Here is the link if needed - MP Q1 2025 Results

Feels pretty clear that this quarter wasn’t just about numbers, something strategic is in the works >>>

Rev up 25% YoY to $60.8M

• NdPr oxide hit a record: 563 MT (+36%)
• Magnet div brought in $5.2M — finally monetizing downstream
• $50M in prepayments from customers = serious trust in their pipeline

However >>>
• Concentrate sales dipped, but that’s the point right? more material is now going toward refining?
• Still operating at a loss, (mostly from scaling costs and underused refining capacity) — I get it

Who wants to compare notes?
Did any of this data surprise you? Impress you?
Would your confidence increase if you were considering investing?

Read another piece saying MP’s got DOD support and a $30m DOE grant,

Mp still can’t separate heavy REEs like Dy or Tb. China still dominates 95%...

They’re aiming for 1,000 MT of NdFeB magnets a year by 2026, but I think tech, talent, and time are real hurdles.

So… does MP have the lead — or just the head start?

 

[John]

This quote was telling:

"MP Materials delivered strong execution across both our Materials and Magnetics divisions in the first quarter,marked by record NdPr oxide production and the initial sales of magnetic precursor materials,” said JamesLitinsky, Founder, Chairman, and CEO of MP Materials. “Given recent events, it is now undeniable that theUnited States must reshore critical industries like rare earth magnetics — something we have been buildingtoward since day one.” Litinsky continued, “With rapidly intensifying engagement from both industry andgovernment, MP Materials is leading this effort — underscoring our growing strategic and economic importanceat a pivotal moment for American industrial policy.”

So i was concerned about MP not being able to ship their concentrate to China (due to the tariffs).

But...the RE Concentrate Sales were only down from $40.1M (Q1 2024) to $30.1M (Q1 2025), a $10M drop.

And they have offset this with a gain in NdPr oxide and metal revenue up $16M YoY.

So there's a near-term $10M revenue hit from not shipping concentrate to China, but it's being offset longer-term by internalizing the value chain (NdPr → magnets)....So i think they will ride this out...and be positioned quite well.

Am i missing something?

 

[Rare Earth Rookie]

Is there any reason why MP didn’t mention how reshoring impacts the production timeline in this report?


Seems like a pretty crucial detail — if they’re now handling everything from mine to magnet in-house, shouldn’t that shorten the delivery window? That feels like something investors would want to know.

Who can explain?

 

[John]

I think the main thing with reshoring is the certainity it provides, rather than the speed. It means if China decides to turn off the NdPr tap....the magnet supply chain is not affected.

The thing i was concerned about, was the impact of the lsot revenue from China (from MPs concetrate)...and the effect on the business. But they have large cash reserves for the constrcution of their processing and magnet facilities....but I would have assumed that some of the revenue from China would have been paying for it.

Will there be a cash shortfall at the end of the construction period? I don't think it is a big risk...becasue the USA Govt might just give them a cash grant etc.