Teck Resources (TECK) Q3 2025 earnings summary

Executive summary

• Announced a merger of equals with Anglo American to create a top five global copper producer, targeting significant synergies and value creation for shareholders.

• Completed a comprehensive operational review, resulting in updated production and cost guidance, and a defined action plan for QB, focusing on TMF improvements.

• Maintained strong operational performance and a resilient balance sheet, with $9.5 billion in liquidity and $5.3 billion in cash.

• Profitability improved year-over-year, driven by higher base metal prices, increased by-product revenues, and lower smelter processing charges, offset by higher QB costs and depreciation.

Financial highlights

• Q3 2025 revenue was $3,385 million, up from $2,858 million in Q3 2024.

• Adjusted EBITDA for Q3 2025 increased 19% year-over-year to $1.2 billion, driven by higher base metals prices, byproduct revenues, and lower smelter processing charges.

• Gross profit before depreciation and amortization increased 24% to $1,194 million; gross profit up 38% to $660 million.

• Adjusted diluted EPS from continuing operations was $0.76, up 27% year-over-year.

• Operating cash flow from continuing operations was $647 million, up from $162 million in Q3 2024.

Outlook and guidance

• 2025 copper production guidance: 415,000–465,000 tonnes; zinc in concentrate: 525,000–575,000 tonnes.

• 2025 copper net cash unit cost guidance: US$2.05–$2.30/lb; zinc net cash unit cost: US$0.45–$0.55/lb.

• Red Dog zinc sales in Q4 expected to be 125,000–140,000 tonnes, reflecting normal seasonality.

• Capital expenditures and unit costs are expected to come in at the midpoint of guidance ranges for copper and between low and mid for zinc.

• QB 2025 copper production expected at 170,000–190,000 tonnes, with net cash unit costs of US$2.65–$3.00/lb.