Lundin Mining (LUN) Q2 2026 earnings summary

Executive summary

• Achieved strong operational and financial performance in Q2 2026, with revenue of $1.21 billion and adjusted EBITDA of $658 million, driven by high copper and gold prices and consistent production.

• Completed acquisition of an additional 5% interest in Caserones (now 75% ownership) and a 31% interest in Los Helados for $215 million, strengthening the mineral resource base and long-term growth prospects.

• Advanced growth strategy with key milestones at Vicuña (RIGI PEELP approval, long-term royalty agreement, power line approval) and sanctioned Chapada ball mill construction.

• Repurchased 2.2 million shares in Q2 for ~$56 million, totaling 6.1 million YTD, reflecting confidence in intrinsic value and balance sheet strength.

• Maintained a net cash position of $79 million after acquisitions and shareholder returns.

Financial highlights

• Q2 revenue reached $1,213 million, driven by strong copper and gold prices and consistent production; copper accounted for 88% of revenue.

• Adjusted EBITDA for Q2 was $658 million; adjusted operating cash flow was $495 million; free cash flow from operations was $360 million.

• Adjusted earnings attributable to shareholders were $257 million ($0.30/share) for the quarter.

• Year-to-date revenue reached $2.4 billion, reflecting higher realized copper and gold prices year-over-year.

• Consolidated cash cost for copper was $2.11/lb in Q2; year-to-date cash cost is $1.88/lb, below the low end of full-year guidance.

Outlook and guidance

• On track to achieve full-year consolidated production guidance: 310,000–335,000 tonnes copper and 134,000–149,000 oz gold.

• Caserones expected to finish at the lower half of guidance due to weather disruptions, but cost guidance remains unchanged.

• Full-year sustaining capital guidance unchanged at $550 million; expansionary capital guidance increased due to Chapada ball mill sanctioning.

• Total 2027 capital expenditure guidance reaffirmed at $1,030 million, with higher spend expected in H2.

• Vicuña stage one sanction decision targeted before year-end, with updated estimates and execution plan in progress.