** Analysts at Morningstar say the path to earnings recovery for Australia's IGO IGO.AX hinges on refinery improvement and support in underlying lithium prices

** Says the Greenbushes spodumene mine met FY25 production guidance while the embattled Kwinana lithium hydroxide refinery missed and is likely to be fully impaired

** Flags FY25 EBITDA rose to A$393 million ($252.97 million), supported by solid output at Greenbushes, though partly offset by JV losses linked to Kwinana’s operational and cost challenges

** Investment research firm notes A$173 million loss from the JV with Tianqi Lithium 002466.SZ, reflecting continued pressure on refinery performance and lithium market softness

** Morningstar marginally reduces its FY26 production estimates for IGO

** Brokerage says Shares remain materially undervalued, with the market extrapolating spot lithium prices into perpetuity

** Stock down 2.7% YTD

($1 = 1.5535 Australian dollars)

(Reporting by Rishav Chatterjee in Bengaluru)

((Rishav.Chatterjee@thomsonreuters.com;))