Southern Copper (SCCO) investor relations material

Executive summary

• Net sales for 2Q25 were $3,051M, down 2.2% year-over-year, mainly due to lower copper sales volumes and prices, partially offset by higher zinc, molybdenum, and silver sales and prices.

• Net income for 2Q25 rose 2.4% to $973.4M, supported by reduced operating costs and higher interest income.

• EBITDA for 2Q25 was $1,791M, nearly flat year-over-year and up 3% sequentially; 6M25 adjusted EBITDA grew 10% to $3,536.5M.

• Six-month net sales rose 8% to $6,173M, and net income increased 13.8% to $1,919M compared to the same period last year.

• Copper accounted for 74.1% of Q2 2025 revenue, with molybdenum, silver, and zinc contributing 11.6%, 6.6%, and 4.0%, respectively.

Financial highlights

• Operating cost for 2Q25 was $1,464M, a 3% decrease year-over-year and 8% lower sequentially.

• Cash cost per pound dropped 17% year-over-year to $0.63 and 18% sequentially.

• Q2 2025 operating income was $1,587M, down 1.3% year-over-year; H1 2025 operating income rose 11.6% to $3,122.5M.

• EPS for 2Q25 was $1.22, flat year-over-year; 6M25 EPS was $2.41, up 11.1%.

• Dividends paid in 6M25 totaled $2.80 per share, up 40% year-over-year.

Outlook and guidance

• 2025 copper production is expected to reach 965,300 tonnes, a 0.9% decrease from 2024, with Pilares project contributing 32,400 tonnes.

• Zinc production is forecast at 173,400 tonnes (+33% year-over-year), driven by Buenavista Zinc concentrator at full capacity.

• Management expects copper prices to remain volatile due to global trade tensions and tariffs, with a projected market deficit of 300,000 tonnes by year-end.

• Major capital investment program for the decade exceeds $15 billion, with significant projects in Peru and Mexico advancing.

• Market expects a copper deficit in 2025 due to low inventories and strong demand from decarbonization and AI technologies.