FCX's Q2 Earnings Surpass Estimates on Higher Copper Prices

Freeport-McMoRan Inc. FCX recorded net income of $772 million or 53 cents per share for second-quarter 2025, up around 25.3% from $616 million or 42 cents in the year-ago quarter.

Barring one-time items, adjusted earnings per share were 54 cents, topping the Zacks Consensus Estimate of 46 cents.

Revenues rose roughly 14.5% year over year to $7,582 million. The figure surpassed the Zacks Consensus Estimate of $7,121.4 million. The company witnessed higher copper and gold prices in the reported quarter.

FCX's Operational Highlights

Copper production fell around 7.1% year over year to 963 million pounds in the reported quarter. The figure missed our estimate of 1,035 million pounds.

Consolidated sales increased approximately 9.1% year over year, reaching 1,016 million pounds of copper. The upside is primarily driven by shipment timing. The company sold 522,000 ounces of gold, up around 44.6% year over year. FCX also sold 22 million pounds of molybdenum, up about 4.8%.

Consolidated average unit net cash costs per pound of copper were $1.13, down from $1.73 a year ago. The figure lagged our estimate of $1.50.

The average realized copper price was $4.54 per pound, up around 1.3% year over year. The figure beat our estimate of $4.20 per pound. The average realized price per ounce for gold rose around 43.1% year over year to $3,291. The figure topped our estimate of $3,024.

Freeport's Financial Position

Cash and cash equivalents at the end of the quarter were $4,490 million, down around 14.8% year over year. The company’s total debt was $9,251 million, down 1.8%.

Cash flows provided by operations were around $2,195 million in the reported quarter, up 12.2% year over year.

FCX's Guidance

For full-year 2025, consolidated sales volumes are projected to be around 3.95 billion pounds of copper, 1.3 million ounces of gold and 82 million pounds of molybdenum. This includes an estimated 1 billion pounds of copper, 350,000 ounces of gold and 18 million pounds of molybdenum expected to be sold in the third quarter.

Freeport's Price Performance

Freeport’s shares are up 3.6% in the past year against an 6.8% decline in the industry.

FCX’s Zacks Rank & Key Picks

FCX currently carries a Zacks Rank #3 (Hold).

Better-ranked stocks worth a look in the basic materials space include Royal Gold, Inc. RGLD, Kinross Gold Corporation KGC and Agnico Eagle Mines AEM.

Royal Gold is slated to report second-quarter results on Aug 6. The Zacks Consensus Estimate for earnings is pegged at $1.70. RGLD beat the Zacks Consensus Estimate in each of the last four quarters, with the average earnings surprise being 9%. RGLD carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Kinross is scheduled to report second-quarter results on July 30. The Zacks Consensus Estimate for KGC’s second-quarter earnings is pegged at 27 cents. KGC beat the Zacks Consensus Estimate in three of the last four quarters, with the average earnings surprise being 16.1%. KGC currently carries a Zacks Rank #1.

Agnico Eagle is slated to report second-quarter results on July 30. The consensus estimate for AEM’s earnings is pegged at $1.66. AEM, carrying a Zacks Rank #1, beat the consensus estimate in each of the last four quarters, with the average earnings surprise being 12.3%. 

 

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research