MMG (1208) Q1 2026 earnings summary

Executive summary

• Copper production rose 9% year-over-year to 128,698 tonnes, driven by Las Bambas and Kinsevere; all operations remained on track to meet full-year production guidance.

• Zinc production declined 3% year-over-year to 50,263 tonnes, while gold rose 24% and silver 27%, supporting lower C1 costs across operations.

• Q1 production was in line with expectations; safety improved quarter-over-quarter, with management focused on stable operations, cost optimization and community engagement.

Financial highlights

• Las Bambas C1 cost was $0.45/lb versus FY guidance of $1.20–$1.40/lb, primarily due to higher by-product credits.

• Khoemacau C1 cost was $1.25/lb versus $2.00–$2.30/lb guidance; silver credits contributed about $1/lb. Dugald River was $0.77/lb versus $0.80–$0.95/lb guidance.

• Kinsevere C1 cost was $2.69/lb, within FY guidance of $2.50–$2.90/lb; Rosebery reported -$1.80/lb versus guidance of -$0.60 to -$0.10/lb.

• Higher precious-metal prices and operational efficiency lowered C1 costs; guidance may be reassessed if favorable prices persist.

Outlook and guidance

• Las Bambas 2026 copper guidance is 380,000–400,000 tonnes, with a 400,000-tonne target and planned ore mix of 56% Ferrobamba and 44% Chalcobamba.

• 2026 production guidance: Kinsevere 65,000–75,000 tonnes of copper, Khoemacau 48,000–53,000 tonnes of copper, Dugald River 170,000–180,000 tonnes of zinc and Rosebery 45,000–55,000 tonnes of zinc.

• Khoemacau expects Q2 concentrate output to increase as new mining equipment arrives and availability improves; Las Bambas copper sales are expected to move closer to production from Q2 as port inventories are drawn down.

• Khoemacau Phase 2 targets first concentrate in H1 2028, lifting annual copper capacity from ~50,000 to 130,000 tonnes; life-of-mine average C1 cost is expected below $1.60/lb.

• Khoemacau Phase 3 pre-feasibility is underway; approval to advance to feasibility is targeted for H1 2027, with feasibility approval expected in 2028.