SCC(US:SCCO)2026-01-29 02:25Summary of Southern Copper Corporation (SCCO-US) 4Q25 Earnings Call Company Overview - Company: Southern Copper Corporation (SCCO-US) - Industry: Mining, specifically copper production Financial Performance - Revenue: Increased by 15% quarter-over-quarter to $3.87 billion [1] - Adjusted EBITDA: Increased by 17% quarter-over-quarter to $2.31 billion [1] - Net Profit: Increased by 18% quarter-over-quarter to $1.31 billion, equivalent to $1.56 per share, slightly above market expectations [1] Copper Production and Sales - Copper Production: Increased by 3% quarter-over-quarter to 242,000 tons, aligning with market expectations [1] - Copper Sales: Increased by 1% quarter-over-quarter to 236,000 tons, generally meeting market expectations [1] - By-Product Production: - Zinc: Increased by 2% quarter-over-quarter to 46,200 tons [1] - Silver: Increased by 5% quarter-over-quarter to 6.55 million ounces [1] - Molybdenum: Decreased by 3% quarter-over-quarter to 770 tons, slightly below market expectations [1] Operational Costs - Copper Operating Cash Cost: - Before by-product revenue: Increased by 3% quarter-over-quarter to $2.29 per pound [1] - After by-product revenue: Increased by 24% quarter-over-quarter to $0.52 per pound [1] Dividends - Quarterly Dividend: Board approved a cash dividend of $1.00 per share and a stock dividend of 0.0085 shares, equivalent to approximately $1.53 per share based on the average price of $179.93 on January 22 [1] Capital Expenditure - Capital Expenditure: Increased by 21% year-over-year to $423 million, primarily due to accelerated development of the Tia Maria project [1] Project Updates - Tia Maria Copper Mine: - Planned annual production of 120,000 tons of copper. - As of the end of 2025, $790 million has been invested in capital expenditures (total project capex is $1.8 billion) [1]. - Current progress includes initiation of earthworks at La Tapada, procurement of secondary and tertiary crushing metal structures, and completion of main substation earthworks [1]. - Los Chancas Copper Mine: - Planned annual production of 130,000 tons of copper. - Community and environmental work is ongoing, but illegal mining remains a challenge; the company plans to take action with authorities [2]. - Projected production start date updated from 2032 to 2031 [2]. - Michiquillary Copper Mine: - Planned annual production of 225,000 tons of copper. - Geological information for estimating mineral resources has been audited, and the company will use this to estimate reserves and develop mining plans [2].