CAP (CAP) Q4 2025 earnings summary

Executive summary

• Net loss for 2025 reduced by 80% to US$84.7m, with non-recurring losses of US$42.3m mainly from TASA divestiture, Cintac, and CMP adjustments.

• Consolidated EBITDA for 2025 was US$513.2m, down 9.8% YoY, mainly due to mining segment performance.

• Consolidated revenues for 2025 reached US$1,930m, up 7.1% YoY, with a 35% YoY increase in 4Q25 driven by mining.

• TASA subsidiary sold for US$24.6m, aligning with portfolio optimization and decarbonization strategy.

• Recognized for ESG leadership, ranking in the top 10% of its sector globally and launching a sustainable financing framework.

Financial highlights

• Gross profit for 2025 was US$228.9m, down 24.4% YoY.

• Mining EBITDA up 150% YoY to US$209m in 4Q25, driven by 45.7% higher shipments and C1 cash cost reduction from US$58.7/t to US$43.1/t.

• Free cash flow for 2025 was US$89m, with operating cash flow of US$1,816m and CAPEX of US$314.6m, 91.7% allocated to mining.

• Net financial expenses rose to US$112.9m from US$91.3m in 2024 due to higher debt and lower cash balances.

• Net debt increased to US$1,450.9m, with a Net Debt/EBITDA ratio of 2.83x.

Outlook and guidance

• 2026 iron ore production guidance set at 15.1–15.6 Mt, with C1 cash cost expected to improve to US$49–53/t.

• 2026 CAPEX guidance confirmed at US$300m, with ~92% allocated to mining.

• Long-term production expected to recover above 16 Mt from 2027 as higher-grade ore is accessed.

• Ongoing focus on portfolio optimization and sustainable finance, including the launch of a new sustainable financing framework.