The South32 Ltd (ASX: S32) share price is in focus today after the company maintained its FY27 production guidance across all operations, increased net cash to US$297 million, and delivered strong growth in base metals output.

What did South32 report?

• FY27 production guidance remains unchanged for all operations.
• Net cash rose by US$14 million to US$297 million after a US$153 million distribution from Sierra Gorda.
• Sierra Gorda copper equivalent production increased by 11% to 22.4kt in the September 2026 quarter.
• Manganese production rose 14% as operations benefitted from improved conditions in Australia and South Africa.
• Cannington’s zinc equivalent production decreased by 27% due to temporary lower mining rates but was offset by processing low-grade stockpiles.
• A fully-franked ordinary dividend of US$242 million was paid for the June 2026 half year, after the quarter close.

What else do investors need to know?

South32 has kept its FY27 production guidance steady across all sites, signalling consistent operational expectations. The company made progress on key development milestones, including advancing the Taylor zinc-lead-silver project at Hermosa and starting the fourth grinding line at Sierra Gorda, which aims to boost copper output by 25% in future years.

Shareholders approved the sale of South32’s aluminium value chain assets to Alcoa at the October AGM, with completion expected in the June 2027 half, pending regulatory approvals. This move will position South32 as a focused upstream base metals company with long-term growth opportunities.

What did South32 management say?

South32 Chief Executive Officer, Matt Daley, said:

We’ve made a positive start to FY27, maintaining production guidance across all our operations and achieving key development milestones for our copper and zinc growth projects… The transaction [sale of aluminium assets] will reposition South32 as a leading upstream base metals focused company with high-margin assets and transformational growth.

What’s next for South32?

Looking ahead, South32 will continue to invest in expanding its base metals portfolio, including growth capital at Hermosa and ongoing development at Sierra Gorda. Upgrades at Cannington are expected to support higher mining rates as the year progresses.

The pending sale of aluminium assets will further concentrate South32’s business on copper, zinc, and manganese. Ongoing capital management, including the share buy-back and dividend payments, remains a priority as the group looks to deliver value to shareholders.

South32 share price snapshot

Over the past 12 months, South32 shares have risen 48%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has declined 2% over the same period.

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The post South32 sustains FY27 guidance while boosting base metals and cash position appeared first on The Motley Fool Australia.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

The Pro Medicus Ltd (ASX: PME) share price is in focus today after the company announced a significant seven-year, A$24 million contract win with Billings Clinic – Logan Health in the United States.

What did Pro Medicus report?

• Secured a 7-year, A$24 million deal with Billings Clinic – Logan Health
• Contract covers deployment of Visage 7 Viewer, Workflow, and Open Archive solutions
• Cloud-based implementation planned, supporting digital transformation for the client
• Migrating legacy image archives to the Visage 7 Open Archive platform
• Agreement operates on a transaction-based model, with potential for further upside

What else do investors need to know?

Billings Clinic – Logan Health is a leading not-for-profit healthcare provider across Montana and the surrounding region, operating 25 hospitals and over 1,000 beds. This contract reflects Pro Medicus’s strong reputation for delivering scalable and innovative cloud-based imaging solutions.

The implementation will see Visage 7’s entire platform integrated, including image distribution within the client’s electronic health record system. Rollout planning is underway, aiming for a go-live date in early 2027.

What did Pro Medicus management say?

Pro Medicus CEO Dr Sam Hupert said:

Billings Clinic – Logan Health provides comprehensive community-focused care to patients across a broad, multi-state, rural area. They join an ever-growing list of Visage 7 clients to opt for our fully cloud-based platform, which, as a result of our CloudPACS strategy, is becoming the standard in the North American healthcare IT market.

What’s next for Pro Medicus?

Pro Medicus will begin planning for the rollout with its proven cloud-based implementation processes. The company continues to report strong interest in its solutions, with management pointing to a robust North American sales pipeline spanning all market segments.

This deal supports Pro Medicus’s broader strategy of expanding its North American footprint and reinforces its position as a leading healthcare imaging provider with widespread cloud adoption.

Pro Medicus share price snapshot

Over the past 12 months, Pro Medicus shares have declined 39%, trailing the S&P/ASX 200 Index (ASX: XJO), which has declined 2% over the same period.

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The post Pro Medicus signs A$24M US deal appeared first on The Motley Fool Australia.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has recommended Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

Certain ASX blue-chip shares are excellent contenders for passive income given their pleasing dividend yields.

Strength and stability are reassuring factors for investors seeking a strong dividend each year, even through tougher economic conditions.

With that in mind, I want to highlight the two stocks below as contenders for passive income.

Charter Hall Long WALE REIT (ASX: CLW)

Rental income is predictable and locked in thanks to the terms of lease agreements. This makes certain real estate investment trusts (REITs) very attractive.

Charter Hall Long WALE REIT has a diversified portfolio of properties. Within that portfolio are long-term leases.

It has a weighted average lease expiry (WALE) of around nine years, which is a long time and provides significant rental security.

The REIT has an occupancy rate of around 100%. Approximately 99% of the portfolio is leased to blue-chip tenants such as government entities, Endeavour Group Ltd (ASX: EDV), Telstra Group Ltd (ASX: TLS), BP, Coles Group Ltd (ASX: COL), Metcash Ltd (ASX: MTS), David Jones, Westpac Banking Corp (ASX: WBC), Arnott’s Group and Sonic Healthcare Ltd (ASX: SHL).

It’s those sorts of tenants that can provide investors with commendable reliability during all economic conditions.

I like the areas of the commercial market the REIT is invested in, including hotels, grocery and distribution, telecommunications exchanges, data centres, service stations food manufacturing, healthcare and more.

Despite the headwind of higher interest rates, the ASX blue-chip share is expected to maintain its operating earnings per security (EPS) of 25.5 cents in FY27. The business plans to pay a 100% distribution payout ratio, so the distribution is also expected to be 25.5 cents per security.

The likely payout for the 2027 financial year translates into a forward distribution yield of 7.8%.

Australian United Investment Company Ltd (ASX: AUI)

Another ASX blue-chip share that looks compelling is this listed investment company (LIC) with a long history of paying dividends.

It was founded in 1953 and it invests in both ASX shares and international shares. It aims to provide sustainable dividend income over the long-term.

At the end of September 2026, its largest holdings were Commonwealth Bank of Australia (ASX: CBA), BHP Group Ltd (ASX: BHP), Rio Tinto Ltd (ASX: RIO), CSL Ltd (ASX: CSL), ANZ Group Holdings Ltd (ASX: ANZ), Wesfarmers Ltd (ASX: WES), Westpac Banking Corp (ASX: WBC), Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) and Transurban Group (ASX: TCL).

The LIC has an incredibly low management expense ratio of 0.09% which is one of the lowest-costing portfolios in Australia.

The ASX blue-chip share has paid a dividend every year since its listing in 1974 and has maintained or increased its dividend each year since 1994.

In FY27, it plans to pay 37 cents per share of ordinary dividends and a special dividend of 8 cents per share. The total dividend per share of 45 cents translates into a grossed-up dividend yield of 5.4%, including franking credits, at the time of writing.

It currently trades at a 14% discount to the net tangible asset (NTA) per share, as of September 2026. This discount makes the valuation look attractive to me.

The post 2 ASX blue-chip shares offering large dividend yields appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has positions in Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL, Transurban Group, Washington H. Soul Pattinson and Company Limited, and Wesfarmers. The Motley Fool Australia has positions in and has recommended Telstra Group, Transurban Group, and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has recommended BHP Group, CSL, Sonic Healthcare, and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.