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Jun 30, 2024
Southern Copper Q2 2024 Earnings Report
Southern Copper's earnings decreased due to lower metal prices and increased production costs.
Key Takeaways
Southern Copper reported a decrease in net income for Q2 2024 compared to Q2 2023, primarily driven by lower metal prices, particularly for copper, molybdenum, and silver, as well as higher production costs. Production volumes for copper, molybdenum, and zinc increased, while silver production decreased. Despite increased sales volumes, the overall financial performance was negatively impacted by market conditions and operational expenses.
Net income decreased to $443.8 million in Q2 2024 from $530.2 million in Q2 2023.
Net sales decreased to $2.44 billion in Q2 2024 from $2.56 billion in Q2 2023.
Copper production increased to 225,448 tons in Q2 2024 from 221,452 tons in Q2 2023.
Molybdenum production increased to 6,922 tons in Q2 2024 from 6,243 tons in Q2 2023.
Southern Copper
Southern Copper
Southern Copper Revenue by Segment
Revenue by Segment
Copper Sales Volume (tons) Revenue
CapyFin.comMolybdenum Sales Volume (tons) Revenue
CapyFin.comZinc Sales Volume (tons) Revenue
CapyFin.comSilver Sales Volume (000sounces) Revenue
CapyFin.com Forward Guidance
Southern Copper anticipates continued volatility in metal prices and is focused on managing costs and increasing production efficiency. The company is progressing with its investment projects to expand production capacity and improve operational performance.
Positive Outlook
- Focus on cost control and efficiency improvements.
- Advancing key investment projects to increase production capacity.
- Commitment to shareholder value through dividends.
- Strong financial position with substantial cash reserves.
- Increased copper, molybdenum, and zinc production volumes.
Challenges Ahead
- Uncertainty in global economic conditions and metal demand.
- Potential for further declines in metal prices.
- Increased production costs affecting profitability.
- Impact of adverse weather conditions on operations.
- Geopolitical risks in operating regions.
Revenue & Expenses
Visualization of income flow from segment revenue to net income