Ero Copper (ERO) Q1 2025 earnings summary

Executive summary

• Achieved strong Q1 2025 results with net income of $80.2M, driven by higher copper production and prices, especially from the ramp-up of the Tucumã Operation.

• Adjusted net income was $36M ($0.35/share) and adjusted EBITDA reached $65.4M for the quarter.

• Consolidated Q1 2025 copper production reached 12,424 tonnes and gold production was 6,638 ounces.

• Available liquidity at quarter-end was $116M, including $80.6M in cash and $35M undrawn on the credit facility.

• Focused on deleveraging, advancing growth initiatives (notably at Furnas), and preparing for shareholder returns.

Financial highlights

• Q1 2025 revenue was $125.1M, up from $105.8M in Q1 2024.

• Adjusted EBITDA was $65.4M, and adjusted net income was $36M ($0.35/share).

• Cash flow from operations was $65.4M in Q1 2025.

• Gross profit increased to $55.5M from $31.2M in Q1 2024.

• Credit facility commitments increased to $200M; $25M drawn under copper prepayment facility.

Outlook and guidance

• 2025 copper production guidance is 75,000–85,000 tonnes, with Caraíba and Tucumã each contributing 37,500–42,500 tonnes; gold production guidance is 50,000–60,000 ounces.

• Copper C1 cash cost guidance: Caraíba $2.15–$2.35/lb, Tucumã $1.05–$1.25/lb; gold AISC: $1,400–$1,600/oz.

• Three-year outlook projects total copper production rising to 85,000–95,000 tonnes and gold production steady at 50,000–60,000 ounces annually through 2027.

• Deleveraging expected to begin in the second half of the year as EBITDA grows and metal prices remain favorable.

• Phase one drill program at Furnas on track for Q3 2025 completion; preliminary economic assessment expected in H1 2026.