Chile's Antofagasta H1 revenue rises on higher metal prices
Chile's Antofagasta H1 revenue rises on higher metal prices
Overview
Chile copper miner's H1 revenue rose 18% yr/yr, slightly missing analyst expectations
Underlying EPS for H1 grew 81% yr/yr, driven by higher prices and cost discipline
Copper production fell 9% yr/yr due to lower output at Los Pelambres and Centinela
Outlook
Antofagasta expects 2026 copper production of 625,000-655,000 tonnes
Company maintains 2026 capital expenditure guidance at $3.4 bln (excluding Zaldívar)
Cash costs before by-product credits seen at $2.40-2.60/lb, after credits at $1.15-1.35/lb
Result Drivers
HIGHER METAL PRICES - Co said higher realised prices for copper, gold and molybdenum were the main driver of revenue and earnings growth
LOWER PRODUCTION - Co said copper production fell 9% yr/yr due to lower output at Los Pelambres and Centinela, mainly from lower grades and weather-related disruptions
COST DISCIPLINE AND BY-PRODUCT CREDITS - Co said disciplined cost control and stronger by-product credits helped lower net cash costs, partially offsetting higher input and labour costs
Company press release: ID:nRSM4876Qa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue | Slight Miss* | $4.48 bln | $4.49 bln (3 Analysts) |
H1 Adjusted Free Cash Flow |
| $2.77 bln |
|
H1 Dividend |
| $0.30 |
|
H1 EBITDA |
| $2.84 bln |
|
H1 EBITDA Margin |
| 63.40% |
|
H1 Pretax Profit |
| $2 bln |
|
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 6 "strong buy" or "buy", 11 "hold" and 5 "sell" or "strong sell"
The average consensus recommendation for the specialty mining & metals peer group is "buy."
Wall Street's median 12-month price target for Antofagasta PLC is GBp3,900.00, about 3.2% below its August 12 closing price of GBp4,029.00
The stock recently traded at 28 times the next 12-month earnings vs. a P/E of 28 three months ago
Reuters Recommended Reads
Aug 11 - Hong Kong's MMG H1 revenue rises, maintains 2026 production guidance
Aug 11 - Chile copper output to fall 2.6% in 2026 before rebound, Cochilco says
Aug 12 - Codelco's stalled project in El Teniente to start production in 2029, executive says
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)