Southern Copper (SCCO) investor relations material

Executive summary

• Achieved record-breaking Q2 2026 results in sales, adjusted EBITDA, and net income, driven by operating excellence and strong market demand for copper and other minerals.

• Net sales reached $4,289.0 million in Q2 2026, up 40.6% year-over-year, setting a new quarterly record despite lower copper sales volumes.

• Net income for Q2 2026 was $1,670 million, a 71.6% increase year-over-year, with a net income margin of 38.9%.

• Copper prices surged 30–31% year-over-year, supporting robust financial performance despite lower production volumes.

• Maintained a positive social and political environment for key projects, with constructive engagement in Peru and Mexico.

Financial highlights

• Q2 2026 sales reached $4.3 billion, up 41% year-over-year; copper sales rose 38% despite a 1.5% volume decline.

• Adjusted EBITDA for Q2 2026 was $2,956 million, up 60% year-over-year, with a margin of 67%.

• Cash flow from operations in the first half was $3,683 million, up 117% year-over-year.

• Operating costs and expenses increased 14% year-over-year, mainly due to higher material, fuel, and labor costs.

• Capital investments in Q2 2026 were $423 million, up 79% year-over-year; H1 2026: $865 million, up 56%.

Outlook and guidance

• 2026 copper production expected at 917,000 tons, slightly above initial plan, with similar levels projected for 2027.

• Tía María project in Peru is 42% complete, with operations expected to begin in 2H27 and initial production of 120,000 tonnes of copper per year.

• El Pilar project in Mexico to begin site preparation in September 2026, with production expected in 2H29.

• Los Chancas and Michiquillay projects in Peru target significant copper and molybdenum output, with operations expected in 2031 and 2032, respectively.

• Positive market outlook with a slight global copper deficit anticipated for 2026.