Freeport-McMoRan (FCX) Q1 2026 earnings summary

Executive summary

• Q1 2026 sales, revenues, EBITDA, and cash flow exceeded forecasts, led by U.S. operations with operating income up ~2.5x year-over-year, despite reduced Indonesian capacity.

• Grasberg Block Cave ramp-up began after remediation, with a revised schedule due to material handling modifications and infrastructure bottlenecks; phased ramp-up underway.

• MoU signed with Indonesian government extends Grasberg operating rights beyond 2041, reinforcing long-term operational stability.

• Advanced major organic copper growth projects in Chile (El Abra) and Arizona (Bagdad), and innovative leach initiatives in the U.S.

• $300 million returned to shareholders in Q1 2026 via dividends and share repurchases.

Financial highlights

• Q1 2026 revenues: $6.23 billion, up from $5.7 billion in Q1 2025; adjusted EBITDA: $2.5 billion; net income attributable to common stock: $881 million; diluted EPS: $0.61.

• Operating cash flow: $1.5 billion in Q1 2026; capital expenditures: $1.0 billion.

• Net debt: $2.4 billion at 3/31/26 (excluding $3.2 billion for PTFI downstream facilities); net debt/Adjusted EBITDA: 0.5x.

• Q1 2026 copper sales: 657 million lbs; gold: 121,000 oz; molybdenum: 24 million lbs.

• Consolidated unit net cash costs for copper: $1.91/lb, favorable to prior estimates.

Outlook and guidance

• 2026 sales guidance: 3.1 billion lbs copper, 650,000 oz gold, 90 million lbs molybdenum; Q2 2026 sales expected: 690 million lbs copper, 140,000 oz gold, 22 million lbs molybdenum.

• 2026e unit net cash cost of copper: $1.95/lb after by-product credits.

• Operating cash flows for 2026 projected at $8.7 billion at $6.00/lb copper; capital expenditures for 2026 expected at $4.3 billion, including $3.0 billion for major mining projects.

• Grasberg ramp-up revised: 9% reduction in copper and 7% in gold output over five years, with largest impacts in 2026–2027; volumes expected to recover by mid-2027.

• Quarterly copper sales expected to rise through 2026 as Grasberg ramps up.