Freeport-McMoRan (NYSE:FCX) reported third-quarter adjusted earnings and revenue above analyst expectations on Tuesday, supported by higher commodity prices that offset the impact of reduced production and sales volumes at its Indonesian operations.
The mining company recorded adjusted earnings per share of $0.88, compared with the consensus estimate of $0.80. Revenue increased 8% year over year to $7.55 billion, exceeding analysts’ expectations of $7.36 billion.
Adjusted net income totaled $1.3 billion, with higher realized prices for copper and molybdenum contributing to the quarterly results.
Freeport shares advanced approximately 0.6% following the earnings announcement.
Freeport-McMoRan posted adjusted earnings of $0.88 per share for the third quarter, exceeding the analyst consensus forecast of $0.80 by $0.08.
Quarterly revenue reached $7.55 billion, compared with $6.97 billion in the corresponding period of the previous year, representing an increase of approximately 8%.
The result was also above the market consensus estimate of $7.36 billion.
Adjusted net income amounted to $1.3 billion, supported by commodity pricing despite lower sales volumes in certain operations.
The company reported average copper prices of $6.54 per pound and molybdenum prices of $32.46 per pound during the quarter.
These prices contributed to the company’s revenue and earnings performance.
Freeport reported copper sales of 749 million pounds during the third quarter, broadly in line with analyst expectations.
However, the figure was below the 977 million pounds sold during the corresponding period of the previous year.
The company attributed the decline primarily to reduced operating rates at its Indonesian operations during the ramp-up of the Grasberg Block Cave underground mine.
Copper production totaled 832 million pounds during the quarter.
The difference between production and sales volumes reflected the company’s reported operating and inventory position during the period, although the supplied information does not provide a detailed reconciliation.
The lower sales volumes were partially offset financially by higher realized copper prices.
Freeport reported gold sales of approximately 105,000 ounces during the third quarter.
The figure was below the company’s July estimate of 160,000 ounces.
The difference was primarily attributed to the timing of refined gold sales in Indonesia and inventories of material undergoing processing at smelting facilities.
Gold production totaled 234,000 ounces during the quarter.
The gap between gold production and sales reflected the timing of processing and commercial deliveries identified by the company.
The results showed that gold sales volumes were lower than previously anticipated, despite the company’s reported production during the period.
Kathleen Quirk, President and Chief Executive Officer of Freeport-McMoRan, commented on the company’s third-quarter results and operational developments.
“The Freeport team delivered strong financial results in the third quarter and achieved several important milestones to drive value and support future growth,” Quirk said.
The statement accompanied the company’s report of adjusted earnings above expectations, higher revenue and progress at its mining operations.
Freeport’s quarterly performance reflected the contribution of commodity prices alongside production and sales developments in Indonesia.
Freeport provided consolidated sales expectations for copper, gold and molybdenum for the full year 2026.
The company expects copper sales of approximately 3.0 billion pounds.
Gold sales are projected to total approximately 649,000 ounces, while molybdenum sales are expected to reach 93 million pounds.
The forecasts incorporate the company’s expectations for production, processing and sales across its mining operations during the remainder of the year.
The company also provided separate projections for fourth-quarter copper and gold sales.
For the fourth quarter, Freeport expects copper sales of approximately 875 million pounds.
Gold sales are forecast at approximately 300,000 ounces.
These projections compare with third-quarter sales of 749 million pounds of copper and 105,000 ounces of gold.
The forecasts indicate that the company expects higher sales volumes for both commodities during the final quarter of 2026.
Actual results will depend on mining operations, processing activity and the timing of commercial deliveries.
Freeport expects full-year unit net cash costs of approximately $1.90 per pound of copper.
The forecast assumes fourth-quarter gold prices of $4,000 per ounce and molybdenum prices of $32.00 per pound.
These commodity price assumptions are relevant because revenue from associated metals can affect the calculation of net cash costs for copper production.
The company also expects operating cash flow of approximately $8.5 billion for the full year.
The cash flow outlook reflects management’s current expectations for operating performance and commodity pricing.
Freeport shares rose approximately 0.6% following the publication of its third-quarter financial results.
The movement followed adjusted earnings and revenue above consensus expectations.
The company reported lower copper sales compared with the previous year and gold sales below its earlier forecast, although higher commodity prices contributed to financial performance.
The available information does not establish a single reason for the share price increase.
Freeport-McMoRan’s third-quarter report showed higher revenue and adjusted earnings, supported by copper and molybdenum pricing.
The company also reported lower copper sales volumes and gold sales below its July expectations, reflecting developments at its Indonesian operations and the timing of refined gold deliveries.
For 2026, Freeport expects consolidated sales of approximately 3.0 billion pounds of copper, 649,000 ounces of gold and 93 million pounds of molybdenum.
Its full-year outlook also includes unit net cash costs of approximately $1.90 per pound of copper and operating cash flow of approximately $8.5 billion.
Subsequent operating updates will provide further information about the Grasberg Block Cave ramp-up, fourth-quarter sales volumes, commodity prices and performance against the company’s annual guidance.
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