The couple were spotted with Hemsworth’s parents Craig and Leonie for lunch in Byron Bay, Australia on Thursday.
Cyrus, 23, dressed casually in a white T-shirt by brand Keep It Bright which she paired with denim shorts. Hemsworth, 26, kept a low-profile wearing a white shirt, board shorts, navy cap and black sunglasses.
Although the pair did not show any signs of PDA, the singer was wearing the 3.5 carat engagement ring she had received before they split in 2013.
Later that same day, Cyrus was pictured shopping at a local boutique with Hemsworth’s sister-in-law Elsa Pataky.
In late March, Hemsworth dispelled rumors that he and Cyrus were ready to walk down the aisle. “I am not engaged, no,” the Independence Day actor told Australia’s TV Week in an interview.
While the two are not tying the knot anytime soon, a source confirmed to PEOPLE that Cyrus and Hemsworth “are back together and very happy.”