Southern Copper Reports Record Q1 Earnings, 67% Net Income Growth, and Declares Substantial Dividends

summarizeSummary

Southern Copper reported record first-quarter 2026 results with net sales up 36.2% and net income up 66.7%, driven by strong metal prices and efficient operations, and declared significant cash and stock dividends.

check_boxKey Events

• Record First Quarter Financial Performance

  Net sales increased by 36.2% to $4,251.4 million, operating income surged by 61.5% to $2,480.4 million, and net income attributable to SCC grew by 66.7% to $1,576.9 million for Q1 2026 compared to Q1 2025. Basic and diluted EPS rose by 66.8% to $1.92.

• Operating Cash Cost Becomes a Credit

  The operating cash cost per pound of copper, net of by-product revenues, improved significantly from a cost of $0.77 in Q1 2025 to a credit of ($0.11) in Q1 2026, primarily due to higher by-product revenues from silver, molybdenum, and zinc.

• Substantial Dividends Declared

  The Board of Directors authorized a quarterly cash dividend of $1.00 per share and a stock dividend of 0.0100 shares per common share, payable on May 29, 2026, reflecting strong financial health and commitment to shareholder returns.

• Key Metal Prices Show Strong Growth

  Average metal prices in Q1 2026 saw significant increases year-over-year: Copper LME (+37.5%), Copper COMEX (+26.9%), Molybdenum (+24.2%), Silver (+157.9%), and Zinc (+14.0%).

auto_awesomeAnalysis

Southern Copper Corporation delivered exceptionally strong first-quarter 2026 financial results, building on its record 2025 performance. The company achieved significant year-over-year growth across key metrics, including a 36.2% increase in net sales and a remarkable 66.7% surge in net income attributable to SCC. This robust performance was primarily driven by higher metal prices for copper, silver, molybdenum, and zinc, coupled with increased sales volumes for silver and zinc. Notably, the company's operating cash cost per pound of copper, net of by-product revenues, turned into a credit of ($0.11), indicating highly efficient operations and strong contributions from by-product sales. Following these results, the Board of Directors authorized a substantial quarterly cash dividend of $1.00 per share and a stock dividend of 0.0100 shares per common share, signaling strong shareholder returns. The filing also provided updates on ongoing capital projects and legal matters, including a favorable ruling in the Peruvian Labor Shares case, further reinforcing a positive outlook for the company.