Industrias Peñoles (PE&OLES) Q3 2026 earnings summary

Executive summary

• 3Q26 results benefited from elevated precious-metal prices, sharply higher copper and zinc prices, better concentrate realizations and higher concentrate sales; lower refined-metal sales volumes partly offset gains.

• Mine output was mixed: lead, zinc and copper-in-concentrate production rose, while gold, silver and cathodic copper declined; refined silver-circuit output fell, but refined zinc increased.

Financial highlights

• Net sales reached US$2,364.9 million, up 19.5% YoY; gross profit was US$1,157.8 million, up 56.7%.

• EBITDA increased 48.7% YoY to US$1,080.6 million; operating income rose 65.8% to US$915.3 million.

• Net income attributable to controlling interest was US$331.0 million, up 9.8% YoY; higher current income taxes and non-controlling interest limited the increase.

• YTD 2026 net sales were US$8,696.4 million, up 48.5%; EBITDA was US$4,160.4 million, up 104.3%, and operating income was US$3,678.9 million, up 141.3%.

Outlook and guidance

• Institutional balances point to moderate copper and zinc surpluses in 2026–2027, with downside correction risks; concentrate scarcity and mine or smelter disruptions supported prices during the quarter.

• Exploration drilling at Tizapa’s five new priority targets is scheduled to begin in November; Flobar and Reina del Cobre drilling programs continue to test and expand resources.

• Refined zinc operations continue efforts to stabilize the electrolysis area following the annual maintenance shutdown.