VANCOUVER, British Columbia, July 03, 2025 (GLOBE NEWSWIRE) -- Ero Copper Corp. (TSX: ERO, NYSE: ERO) ("Ero" or the “Company”) is pleased to announce that the Tucumã Operation, located in Pará State, Brazil, achieved commercial production, effective July 1, 2025. During the month of June, following the completion of commissioning of the third filter press as well as modifications to the process plant, the operation achieved sustained throughput levels exceeding 75% of design capacity. "The achievement of co ...

Company Performance - Ero Copper Corp. (ERO) experienced a decline of 2.78% in its stock price, closing at $16.77, while the S&P 500 gained 0.52% [1] - Over the past month, Ero Copper's shares have appreciated by 21.14%, outperforming the Basic Materials sector's gain of 4.06% and the S&P 500's gain of 5.95% [1] Upcoming Earnings - The upcoming earnings release for Ero Copper Corp. is scheduled for July 31, 2025, with projected earnings of $0.43 per share, indicating a year-over-year growth of 138.89% [2] - The consensus estimate for revenue is $195 million, reflecting a 66.52% increase from the prior-year quarter [2] Fiscal Year Projections - For the entire fiscal year, Zacks Consensus Estimates project earnings of $1.97 per share and revenue of $826 million, representing increases of 152.56% and 75.67% respectively from the previous year [3] - Recent modifications to analyst estimates indicate positive sentiment regarding Ero Copper's business and profitability [3] Valuation Metrics - Ero Copper Corp. has a Forward P/E ratio of 8.76, which is significantly lower than the industry average Forward P/E of 24.02 [6] - The Mining - Non Ferrous industry, part of the Basic Materials sector, currently holds a Zacks Industry Rank of 149, placing it in the bottom 40% of over 250 industries [6] Zacks Rank System - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), shows Ero Copper Corp. holding a Zacks Rank of 3 (Hold) [5] - The Zacks Rank has a proven track record of outperformance, with 1 ranked stocks yielding an average annual return of +25% since 1988 [5]

Company Overview - Ero Copper Corp. (ERO) shares increased by 9% to $17.25 in the last trading session, with a higher-than-average trading volume [1] - The stock has gained 10.8% over the past four weeks [1] Copper Market Dynamics - Ero Copper's gains are aligned with rising copper prices, which have surpassed $5 per pound due to increased shipments to the U.S. ahead of potential tariffs [2] - Approximately 400 kilotons of copper have been imported into the U.S. since February, tightening global supply [2] - Positive sentiment in the market is supported by easing tensions in the Middle East, reduced fears of retaliatory tariffs, anticipated Chinese stimulus, and a dovish Federal Reserve [2] Earnings Expectations - Ero Copper is expected to report quarterly earnings of $0.43 per share, reflecting a year-over-year increase of 138.9% [3] - Revenue projections stand at $195 million, marking a 66.5% increase from the same quarter last year [3] - The consensus EPS estimate has remained unchanged over the last 30 days, indicating a potential lack of momentum in earnings estimate revisions [4] Industry Context - Ero Copper operates within the Zacks Mining - Non Ferrous industry, which includes other companies like Centrus Energy Corp. (LEU) [4] - Centrus Energy's EPS estimate has decreased by 21.3% over the past month, indicating a contrasting trend within the same industry [5]

Core Viewpoint - The article discusses the reliability of brokerage recommendations, particularly focusing on Ero Copper Corp. (ERO), and suggests that while the average brokerage recommendation indicates a strong buy, investors should be cautious and validate this information with other tools like the Zacks Rank [1][5][14]. Group 1: Brokerage Recommendations - Ero Copper has an average brokerage recommendation (ABR) of 1.31, indicating a position between Strong Buy and Buy, based on recommendations from 13 brokerage firms [2]. - Out of the 13 recommendations, 10 are Strong Buy and 2 are Buy, which account for 76.9% and 15.4% of all recommendations respectively [2]. Group 2: Limitations of Brokerage Recommendations - Studies indicate that brokerage recommendations have limited success in guiding investors towards stocks with the best price increase potential [5]. - Analysts from brokerage firms often exhibit a strong positive bias due to vested interests, leading to a disproportionate number of favorable ratings compared to negative ones [6][10]. Group 3: Zacks Rank Comparison - The Zacks Rank is a proprietary stock rating tool that categorizes stocks into five groups based on earnings estimate revisions, which are shown to correlate strongly with near-term stock price movements [8][11]. - The Zacks Rank for Ero Copper is currently 3 (Hold), indicating a cautious outlook despite the favorable ABR [14]. Group 4: Earnings Estimates - The Zacks Consensus Estimate for Ero Copper's current year earnings remains unchanged at $1.97, suggesting steady analyst views on the company's earnings prospects [13]. - The lack of change in the consensus estimate may indicate that Ero Copper is likely to perform in line with the broader market in the near term [13].

Core Points - Ero Copper Corp. will release its second quarter 2025 operating and financial results on July 31, 2025, after market close [1] - A conference call to discuss the results is scheduled for August 1, 2025, at 11:30 am Eastern Time [2] - The company is a high-margin, high-growth copper producer with significant operations in Brazil [4] Company Overview - Ero Copper holds a 99.6% interest in Mineração Caraíba S.A., which operates the Caraíba Operations in Bahia State, Brazil, and the Tucumã Operation in Pará State, Brazil [4] - The company also owns 97.6% of NX Gold S.A., which operates the Xavantina Operations in Mato Grosso State, Brazil [4] - In July 2024, Ero Copper signed an earn-in agreement with Vale Base Metals for a 60% interest in the Furnas Copper-Gold Project in Pará State, Brazil [4]

Company Performance - Ero Copper Corp. (ERO) closed at $15.03, reflecting a -4.08% change from the previous day's closing price, underperforming the S&P 500 which lost 1.13% [1] - Over the past month, Ero Copper's shares have increased by 15.05%, outperforming the Basic Materials sector's gain of 4.24% and the S&P 500's gain of 3.55% [1] Upcoming Earnings - The company is expected to report an EPS of $0.51, representing a 183.33% increase compared to the same quarter last year [2] - Revenue is projected to be $195 million, indicating a 66.52% rise from the equivalent quarter last year [2] Full Year Estimates - For the full year, analysts expect earnings of $2.07 per share and revenue of $826 million, which would mark increases of +165.38% and +75.67% respectively from the previous year [3] Analyst Estimates - Recent changes to analyst estimates for Ero Copper reflect evolving short-term business trends, with positive revisions indicating optimism about the business outlook [4] Share Price Momentum - Research indicates that estimate revisions correlate with near-term share price momentum, and the Zacks Rank system incorporates these changes to provide a rating system [5] Zacks Rank - Ero Copper Corp. currently holds a Zacks Rank of 3 (Hold), with the consensus EPS estimate shifting 2.91% upward over the past month [6] Valuation - The company has a Forward P/E ratio of 7.58, significantly lower than the industry average Forward P/E of 23.45, suggesting that Ero Copper is trading at a discount [7] Industry Context - The Mining - Non Ferrous industry, part of the Basic Materials sector, has a Zacks Industry Rank of 63, placing it in the top 26% of over 250 industries [7]

Core Viewpoint - Ero Copper Corp. (ERO) has seen a 23.8% increase in share price over the past four weeks, closing at $13.52, with analysts suggesting a potential upside to a mean price target of $17.45, indicating a 29.1% increase from the current price [1]. Price Targets and Analyst Estimates - The mean estimate for ERO comprises 13 short-term price targets with a standard deviation of $2.71, where the lowest estimate is $12.50 (7.5% decline) and the highest is $24.39 (80.4% increase) [2]. - A low standard deviation among price targets suggests a strong agreement among analysts regarding the stock's price movement, which can be a useful starting point for further research [9]. Earnings Estimates and Analyst Sentiment - Analysts have shown increasing optimism about ERO's earnings prospects, as indicated by a strong consensus in revising EPS estimates higher, which correlates with potential stock price movements [11]. - Over the last 30 days, the Zacks Consensus Estimate for the current year has increased by 0.1%, with one estimate moving higher and no negative revisions [12]. - ERO holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates, indicating a strong potential upside [13].

Core Insights - Ero Copper Corp. reported quarterly earnings of $0.35 per share, exceeding the Zacks Consensus Estimate of $0.17 per share, marking an earnings surprise of 105.88% [1] - The company posted revenues of $125.09 million for the quarter ended March 2025, which fell short of the Zacks Consensus Estimate by 1.51% [2] - Ero Copper has surpassed consensus EPS estimates three times over the last four quarters, but has not beaten revenue estimates during the same period [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.67 on revenues of $194 million, while the estimate for the current fiscal year is $2 on revenues of $841.98 million [7] - The estimate revisions trend for Ero Copper is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6] Industry Context - The Mining - Non Ferrous industry, to which Ero Copper belongs, is currently in the top 25% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Core Viewpoint - Ero Copper Corp. reported strong operational and financial results for Q1 2025, driven by increased copper production and higher metals prices, with a focus on achieving record copper production in 2025 [1][4][7]. Financial Highlights - Revenues for Q1 2025 were $125.1 million, up from $122.5 million in Q4 2024 and $105.8 million in Q1 2024 [13]. - Net income attributable to owners of the Company was $80.2 million ($0.77 per diluted share), a significant recovery from a net loss of $48.9 million in Q4 2024 [13][14]. - Adjusted EBITDA for the quarter was $63.2 million, compared to $59.1 million in Q4 2024 and $43.3 million in Q1 2024 [13][34]. Operational Highlights - Consolidated copper production reached 12,424 tonnes, with the Tucumã Operation contributing 5,067 tonnes and Caraíba Operations producing 7,357 tonnes [5][11]. - Gold production totaled 6,638 ounces, with average C1 cash costs of $1,100 per ounce and All-in Sustaining Costs (AISC) of $2,228 per ounce [5][12]. - The company achieved a 32% quarter-on-quarter increase in ore tonnes processed at the Tucumã Operation, with more than half of the production occurring in March 2025 [11][15]. Production and Cost Guidance - Ero Copper expects full-year copper production for 2025 to range between 75,000 and 85,000 tonnes, with sequential increases anticipated throughout the year [15][17]. - The company reaffirmed its gold production guidance of 50,000 to 60,000 ounces for the Xavantina Operations, supported by higher processed tonnage and improved gold grades [16][17]. Capital Expenditure Guidance - Capital expenditure guidance for 2025 remains unchanged at $230 to $270 million, excluding capitalized ramp-up costs prior to the declaration of commercial production at the Tucumã Operation [20][21]. Liquidity Position - At the end of Q1 2025, available liquidity was $115.6 million, including $80.6 million in cash and cash equivalents and $35 million of undrawn availability under the senior secured revolving credit facility [5][43].

MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE THREE MONTHS ENDED MARCH 31, 2025 This MD&A contains "forward‐looking statements" that are subject to risk factors set out in a cautionary note contained at the end of this MD&A. The Company cannot assure investors that such statements will prove to be accurate, and actual results and future, events may differ materially from those anticipated in such statements. The results for the periods presented are not necessarily indicative of the results that may be expec ...