Southern Copper Corp

Latest Results (24.01.2026):

Southern Copper Corp — Third Quarter 2025: the company reported record quarterly net sales and profitability driven by stronger metal prices and higher by‑product output. Key Q3 2025 results included sales of $3.4 billion, adjusted EBITDA of $1,975 million (59% margin), net income of $1,108 million, and operating cash flow of $1,560 million; copper production was 234,892 tonnes (down 7% year‑over‑year) while by‑products (zinc, silver, molybdenum) showed material gains.

Headline financials

Q3 2025 net sales $3.4B (+15% vs Q3 2024); adjusted EBITDA $1,975M (+17% YoY) with a 59% margin; net income $1,108M (+23% YoY); nine‑month adjusted EBITDA $5,512M (up 13% YTD).

Copper production and guidance

Copper production in Q3 2025: 234,892 tonnes (‑7% YoY; Peru and Mexico declines). YTD through Sep: 714,098 tonnes (‑3% YTD). 2025 guidance: ~960,000 tonnes of copper (slightly below plan, ~2% below 2024 final).

Costs and by‑product credits

Operating cash cost before by‑product credits in Q3: $2.23/lb (up from $2.11 in Q2). Including by‑product credits, cash cost was $0.42/lb (improved from $0.63 in Q2). By‑product credits totaled $895M (≈ $1.81/lb), a 22% increase vs Q2.

By‑product performance

Zinc mined +46% QoQ to 45,482 tonnes (Buenavista concentrator driving growth); 2025 zinc guidance 174,700 tonnes (+34% vs 2024). Silver mined +16% YoY; Q3 silver avg price $39.56/oz (+34% YoY); 2025 silver guidance 23M oz (+10% vs 2024). Molybdenum production +8% YoY; Q3 avg price $24.30/lb (+12% YoY); 2025 moly guidance 30,000 tonnes (company disclosure).

Sales mix and cost drivers

Copper was ~73% of sales value in Q3; by‑products (molybdenum 13%, silver 7%, zinc 4%) materially boosted revenue. Operating costs rose $128M (≈ +9% vs Q3 2024) from purchases of concentrate, labor, contractors, energy and other items.

Cash flow, cash balance and dividends

Q3 operating cash flow $1,560M; nine‑month operating cash flow $3,258M (+6% vs 2024). Company noted a cash balance around $4.5B. Board declared a quarterly cash dividend $0.90/share plus a stock dividend of 0.0085 shares/share (payable Nov 28, 2025; record Nov 12).

Capital spending & project pipeline

2026 CapEx expected to rise (Tía María construction begins): Tía María CapEx ~ $866M and company expects ~ $2B of total CapEx next year. Long‑term Peruvian project pipeline > $10.3B; Mexican projects under review (Angangueo, Chalchihuites, Empalme smelter, El Arco). Potential Cuajone concentrator line (~$600–700M for ~40kt Cu) remains under evaluation.

Project timing

Tía María: authorization to begin exploitation received; pre‑stripping and main construction activities to start with ramp‑up expected in 2027 (initial testing mid‑2027). Los Chancas and Michiquillay progressing; El Pilar and El Arco timing noted later in the decade.

Market view and outlook

Company view: LME copper averaged $4.44/lb in Q3 2025 (+7% YoY) and COMEX up 14%; estimates a global copper deficit near 400,000 tonnes and global inventories of ~609,000 tonnes (~8 days of demand), supporting a constructive price outlook.

ESG and operational notes

ESG: S&P Global CSA rating improved; progress on emissions reductions (wind power), biodiversity restoration (Buenavista, Ite wetlands), and community programs. Ilo smelter had major maintenance affecting sulfuric acid and refined silver volumes in the quarter.