- Southern Copper reported a net income of $973.4 million for the second quarter, marking a 2.4% increase year over year and exceeding the estimated $905.5 million.
- Earnings per share (EPS) held steady at $1.22, matching both the previous year and market expectations.
- Sales figures amounted to $3.05 billion, a decline of 2.2% compared to the previous year, falling short of the estimated $3.07 billion.
- Adjusted EBITDA was $1.79 billion, slightly down by 0.3% year over year, though surpassing the expected $1.74 billion.
- The adjusted EBITDA margin improved to 58.7% from 57.6% the previous year, exceeding the estimated margin of 55.7%.
- Copper production reached 241,291 tonnes, down 1% year over year, narrowly missing the estimated 242,925 tonnes.
- Zinc production experienced a significant rise, growing 56% year over year to 45,899 tonnes, surpassing the estimated 42,897 tonnes.
- Silver production was 5.98 million ounces, increasing by 15% year over year and exceeding estimates that ranged from 5.63 million ounces.
- Operating income was reported at $1.59 billion, a 1.3% year-over-year decline, but above the estimated $1.5 billion.
- The investment community’s sentiment is varied with 5 buy ratings, 9 holds, and 7 sells.
Southern Copper on Smartkarma
On Smartkarma, analysts from Baptista Research have provided bullish coverage on Southern Copper Corporation. In their report titled “Southern Copper Corporation: Los Chancas and Michiquillay Project Progress & Other Key Developments,” the analysts highlighted the company’s positive first-quarter results for 2025. Southern Copper reported a 20% increase in net sales, reaching $3 billion compared to the same period in 2024. This growth was driven by increased copper production and pricing, as well as higher sales of by-products like molybdenum, silver, and zinc.
Further, in another report titled “Southern Copper Corporation: The 6 Most Significant Forces Steering Its Performance into 2025 & Beyond,” Baptista Research discussed the third-quarter and nine-month results for 2024. Despite some challenges, the company saw a significant boost in sales, production, and profitability. Revenue for the third quarter of 2024 increased to $2.9 billion, a 17% rise from the same period in 2023, mainly due to a 21% increase in copper sales value and an 8% rise in copper sales volume.
A look at Southern Copper Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Southern Copper has a positive long-term outlook. With strong scores in Dividend, Resilience, and Momentum, the company is positioned well for future growth and stability. A high score in Dividend indicates that Southern Copper is committed to returning value to its shareholders through regular dividend payments. Furthermore, the company’s resilience score reflects its ability to weather economic uncertainties and challenges, showcasing a solid foundation. Additionally, the momentum score suggests that Southern Copper is experiencing positive upward trends, which bodes well for its future performance.
Southern Copper Corporation, known for conducting mining operations primarily in Peru and Mexico, has a diverse portfolio that includes copper, molybdenum, zinc, and precious metals. The company’s balanced Smartkarma Smart Scores across various factors indicate a well-rounded approach to its operations, positioning it as a promising investment opportunity for long-term investors seeking stability, growth, and consistent returns.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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