Financial Data and Key Metrics Changes - Teck Resources Limited generated $2.9 billion in adjusted EBITDA for 2024, more than double the previous year, with Q4 adjusted EBITDA increasing by 160% to $835 million compared to the same period last year [10][28] - The company returned $1.8 billion in cash to shareholders in 2024, including $514 million in dividends and $1.25 billion in share buybacks [8][29] - The company reduced its debt by $2.5 billion in 2024, including $275 million in Q4, and maintained a net cash position of $2.1 billion as of December 31, 2024 [10][48] Business Line Data and Key Metrics Changes - Copper production reached a record 446,000 tons in 2024, a 50% increase from the prior year, with Q4 production increasing to 60.7 thousand tons from 52.5 thousand tons in Q3 [10][20] - Zinc production at Red Dog improved, with increased production and a 16 US cents per pound reduction in net cash unit costs [11][39] - The copper segment's gross profit before depreciation and amortization more than doubled to $732 million in Q4 compared to the same period in 2023 [32] Market Data and Key Metrics Changes - Copper and zinc sales volumes each increased by 24% from Q4 of 2023, driven by strong base metals prices and higher sales volumes from the ramp-up of QB and Red Dog [30] - The company expects copper production to grow to between 490,000 and 565,000 tons in 2025, reflecting ongoing ramp-up at QB and improved grades at Highland Valley [25][36] - Zinc in concentrate production is expected to decline to 525,000 to 575,000 tons in 2025, down from 616,000 tons in 2024 [42] Company Strategy and Development Direction - Teck Resources Limited is repositioning as a pure-play energy transition metals company focused on copper and zinc following the sale of its steelmaking coal business [8] - The company is advancing near-term copper growth projects, including the MyLife Extension at Highland Valley and greenfield projects at Zafranal and San Nicolas, aiming for significant production increases by the end of the decade [26][55] - The capital allocation framework balances investment in growth with returns to shareholders, committing to return between 30% and 100% of available cash flows [46] Management's Comments on Operating Environment and Future Outlook - The management highlighted robust demand for copper and zinc driven by economic growth, urbanization, and electrification, despite global economic uncertainties [58][59] - The company is closely monitoring potential impacts from tariffs and trade restrictions, noting that any tariffs imposed by the US are not expected to materially affect its business [60][62] - Management expressed confidence in achieving production guidance and operational excellence while maintaining a strong focus on cost discipline [63][64] Other Important Information - Teck Resources Limited maintained a low high potential incident frequency of 0.12% across its operations in 2024, emphasizing its commitment to safety and sustainability [16] - The company received recognition for its sustainability leadership, being named one of Canada's top 100 employers for the eighth consecutive year [18] Q&A Session Summary Question: Can you provide an update on the QB2 ramp-up and its performance post-shutdown? - Management indicated that the ramp-up is progressing well and is in line with operational plans, with confidence in achieving the 2025 guidance range [70][72] Question: How does the capital allocation framework reconcile with potential M&A opportunities? - Management emphasized a focus on value creation for shareholders, with a strong balance sheet and ongoing share buybacks while also considering organic growth projects [84][87] Question: What is the status of the Highland Valley life extension project? - Management is in the final phases of the environmental assessment process and remains confident in obtaining necessary approvals [110] Question: How is the company addressing the cash flow situation at Trail? - Management highlighted cost reduction efforts and the strategic importance of Trail, particularly in the context of current market conditions and the production of critical metals [135][136]

CONFERENCE CALL FOURTH QUARTER 2024 February 20, 2025 1 CAUTION REGARDING FORWARD-LOOKING STATEMENTS Both these slides and the accompanying oral presentation contain certain forward-looking information and forward-looking statements as defined in applicable securities laws (collectively referred to as forward-looking statements). These statements relate to future events or our future performance. All statements other than statements of historical fact are forward-looking statements. The use of any of the wo ...

Financial Performance - In Q4 2024, the company reported a profit from continuing operations attributable to shareholders of $385 million, a significant increase from a loss of $167 million in Q4 2023[19]. - Revenue for Q4 2024 was $2.786 billion, up from $1.843 billion in Q4 2023, while gross profit increased to $542 million from $152 million[24]. - Adjusted profit from continuing operations attributable to shareholders in Q4 2024 was $232 million, compared to $23 million in Q4 2023[20]. - Profit from discontinued operations was $1.2 billion in 2024, down from $2.6 billion in 2023, reflecting the sale of the steelmaking coal business[112]. - Operating cash flows from continuing operations improved to $1.3 billion in Q4 2024, compared to an outflow of $15 million in the same quarter last year[123]. - The company reported cash flow from operations of $1,288 million in Q4 2024, a significant increase from $1,126 million in Q4 2023[160]. - Basic earnings per share for Q4 2024 were $0.78, up from a loss of $1.35 in Q3 2024[160]. - Adjusted profit from continuing operations attributable to shareholders for the year ended December 31, 2024 was CAD$605 million, up from CAD$289 million in 2023[197]. Production and Sales - Copper sales volumes reached 124,900 tonnes in Q4 2024, up 24% year-over-year, while zinc in concentrate sales volumes also increased by 24% to 204,000 tonnes[17]. - The company achieved record copper production of 122,100 tonnes in Q4 2024, an increase of 18,700 tonnes from the same period last year[17]. - Record quarterly copper production reached 122,100 tonnes in Q4 2024, an 18% increase from 103,000 tonnes in Q4 2023[35]. - Copper production at Quebrada Blanca reached 60,700 tonnes in Q4 2024, up 77% from 34,300 tonnes in Q4 2023[172]. - Zinc production at Red Dog decreased by 17% year-over-year to 128,400 tonnes in Q4 2024, while refined zinc production at Trail Operations was 62,100 tonnes, down 7,800 tonnes due to a fire incident[76][90]. - Total zinc production at Trail Operations was 62,100 tonnes in Q4 2024, a decrease of 11% from 69,900 tonnes in Q4 2023[176]. Costs and Expenses - General and administration costs decreased by 33% to $59 million in Q4 2024, reflecting structural cost reductions implemented across the business[18]. - Total cash unit costs, including Quebrada Blanca (QB), were US$2.55 per pound in Q4 2024, up from US$2.20 per pound in Q4 2023[57]. - Other operating expenses decreased to $142 million in Q4 2024 from $170 million in Q4 2023, primarily due to lower environmental costs[101]. - Total cost of sales for 2024 was $7,458 million, compared to $5,364 million in 2023, indicating rising operational costs[169]. - The company expects total cash unit costs for copper to decrease from US$2.54 per pound in 2024 to a range of US$2.05 to US$2.35 in 2025[152]. Market Conditions and Outlook - Global copper demand remains strong, particularly in North America and China, driven by government and corporate spending on renewable energy and infrastructure[39]. - The company acknowledges ongoing uncertainty in global markets that may significantly affect commodity prices and financial results[135]. - The company expects to see an overall increase in ore grades in 2025 compared to 2024 as it continues to execute its mine plan[43]. - The company anticipates a decrease in general and administration costs by approximately 15% and research and innovation costs by about 35% in 2025 compared to 2024[145]. Shareholder Returns and Debt Management - The company completed the sale of its steelmaking coal business for total proceeds of $8.6 billion, with plans to allocate $3.5 billion for cash returns to shareholders[18]. - The company executed $1.25 billion of its authorized share buyback program of $3.25 billion in 2024[18]. - The company returned $549 million to shareholders in Q4 2024 through share buybacks and dividends[117]. - The company reduced its debt by US$196 million in Q4 2024, with total debt repayment of US$1.8 billion since January 1, 2024[118]. - Total debt as of December 31, 2024 was CAD$5,482 million, with a debt to adjusted EBITDA ratio of 1.9[200]. Capital Expenditures and Investments - Property, plant, and equipment expenditures in Q4 2024 totaled CAD$370 million, including CAD$218 million for sustaining capital[38]. - Capital expenditures for property, plant, and equipment were $422 million in Q4 2024, including $249 million for sustaining capital and $165 million for growth projects[125]. - The company plans to invest approximately US$430–485 million in copper growth capital expenditures in 2025, including US$100–110 million for HVC Mine Life Extension and US$220–240 million for Zafranal[64]. - Total capital expenditures for 2025 are guided to be between CAD$1,795 million and CAD$1,965 million, with sustaining capital for copper estimated at CAD$600-670 million[158]. Commodity Prices - Average LME copper prices rose by 13% to $4.17 per pound, and zinc prices increased by 22% to $1.38 per pound compared to the previous year[17]. - The average zinc price on the LME in Q4 2024 was US$1.38 per pound, a 10% increase from the previous quarter and a 22% increase year-over-year[80]. - The realized copper price was US$4.17 per pound in Q4 2024, a 13% increase compared to US$3.75 per pound in Q4 2023[31]. Exchange Rate and Financial Sensitivity - As of December 31, 2024, the company expects increased exposure to U.S./Canadian dollar exchange rate fluctuations due to a substantial cash balance held in U.S. dollars and reduced U.S. dollar debt[134]. - Adjusted profit from continuing operations is sensitive to changes in commodity prices and the Canadian/U.S. dollar exchange rate, with a CAD$0.01 change in the exchange rate estimated to affect adjusted profit by CAD$23 million[141].

Company Performance - Teck Resources Ltd reported quarterly earnings of $0.33 per share, exceeding the Zacks Consensus Estimate of $0.22 per share, but down from $1.02 per share a year ago, representing an earnings surprise of 50% [1] - The company posted revenues of $1.99 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 7.35%, but down from $3.02 billion year-over-year [2] - Over the last four quarters, Teck Resources has surpassed consensus EPS estimates three times and topped consensus revenue estimates only once [2] Stock Movement and Outlook - Teck Resources shares have increased approximately 5.4% since the beginning of the year, outperforming the S&P 500's gain of 4.5% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to those expectations [4] - The current consensus EPS estimate for the coming quarter is $0.27 on revenues of $1.63 billion, and for the current fiscal year, it is $1.53 on revenues of $7.32 billion [7] Industry Context - The Mining - Miscellaneous industry, to which Teck Resources belongs, is currently ranked in the bottom 32% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Teck Resources' stock performance [5][6]

Core Viewpoint - Teck Resources Limited has undergone a significant transformation in 2024, positioning itself as a pure-play energy transition metals company following the sale of its steelmaking coal business and achieving record copper production [2] Financial Performance - In Q4 2024, Teck reported revenues of CAD 2,786 million, a 51% increase from CAD 1,843 million in Q4 2023 [5] - Gross profit for Q4 2024 was CAD 542 million, compared to CAD 152 million in Q4 2023, marking a substantial improvement [5] - Adjusted EBITDA for Q4 2024 reached CAD 835 million, significantly up from CAD 321 million in the same quarter last year [6] - Profit from continuing operations attributable to shareholders was CAD 385 million in Q4 2024, a recovery from a loss of CAD 167 million in Q4 2023 [6] Production Highlights - Teck achieved record copper production of 122,100 tonnes in Q4 2024, contributing to an annual total of 446,000 tonnes, which is a 50% increase from 2023 [6][10] - The copper business generated a gross profit before depreciation and amortization of CAD 732 million in Q4 2024, up 160% year-over-year [6] - Zinc production also saw significant growth, with gross profit before depreciation and amortization reaching CAD 320 million in Q4 2024, a 112% increase from the previous year [6] Shareholder Returns - The company returned CAD 1.8 billion to shareholders in 2024 through share buybacks and dividends, with CAD 549 million executed in Q4 alone [6] - As of February 19, 2025, Teck completed CAD 1.45 billion of its authorized CAD 3.25 billion buyback program [6] Debt Management - Teck reduced its debt by USD 196 million in Q4 2024 and by USD 1.8 billion over the entire year [6] - The company's liquidity as of February 19, 2025, stood at CAD 11.3 billion, including CAD 7.1 billion in cash [6] Future Guidance - For 2025, Teck expects copper production to increase to between 490,000 and 565,000 tonnes, with a focus on ramping up operations at Quebrada Blanca [10][11] - Zinc production guidance for 2025 is set between 525,000 and 575,000 tonnes [11]

Teck Resources Limited (TECK) announced fourth-quarter and 2024 production and sales volumes.TECK’s Production & Sales UpdateIn the fourth quarter of 2024, Teck Resources sold 124,900 tons and produced a record 122,100 tons of copper. The company’s annual copper production came in at 446,000 tons, within its guidance of 420,000-455,000 tons. The upside in production was driven by the ramp-up of Quebrada Blanca, which achieved design throughput rates by the end of 2024. Fourth-quarter 2024 sales and producti ...

VANCOUVER, British Columbia, Jan. 21, 2025 (GLOBE NEWSWIRE) -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) today provided select unaudited fourth quarter 2024 production and sales volumes, annual production volumes for 2024, as well as operational and capital guidance for 2025 and production guidance for 2026 to 2028. Our fourth quarter 2024 financial results are scheduled for release on February 20, 2025. Overview of 2024 Teck underwent a significant portfolio transformation in 202 ...

VANCOUVER, British Columbia, Jan. 13, 2025 (GLOBE NEWSWIRE) -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) today announced the appointment of Colin Hamilton as Vice President, Market Research and Economic Analysis, effective February 17, 2025. “We are very pleased to welcome Colin to Teck,” said President and CEO Jonathan Price. “With vast market experience in the mining and metals sector and a globally renowned reputation for thought leadership and innovation in commodity analysis, ...

Stratos Capital Partners (S.C) was established in 2017 by a small team of professionals from the investment industry with a deep passion for financial markets, macroeconomics, and investment strategy. S.C.'s original goal was to focus exclusively and extensively on the research & development of algorithmic trend-following strategies. The implications of our research over the years have not only strengthened our conviction for systematic strategies but have also led to the profound evolution of our philosoph ...

Teck Resources (TECK) has entered into an option and joint venture agreement with Grid Metals Corp. to explore and develop the Mawka nickel project in southeastern Manitoba, Canada.  Per the deal, TECK has the option to acquire up to 70% interest in the project in two stages. For this, Teck Resources will have to make a total cash payment of CAD$1.6 million ($1.12 million) and fund a total of CAD$15.7 million ($11.02 million) in expenditures. This will be made in different stages by TECK through 2025-2031.T ...