Canada's Teck Resources Q3 revenue beats on higher output, copper prices

Teck Resources

Yesterday 04:44

Overview
Canada mining firm's Q3 revenue rose, beating analyst expectations
Adjusted EPS for Q3 beat analyst expectations
Q3 results driven by higher copper and zinc prices, increased production, and lower unit costs

Outlook
Teck maintains 2026 copper production guidance for QB at 200,000–235,000 tonnes
Company expects 2026 copper net cash unit costs at US$1.80–$2.00/lb, down from prior guidance
Teck sees 2026 zinc net cash unit costs at US$0.30–$0.40/lb, lowered from earlier outlook

Result Drivers
RECORD COPPER PRICES - Co said Q3 results were driven by record copper prices, which averaged US$6.40 per pound
INCREASED COPPER PRODUCTION - Co said copper production volumes were up 11% year-on-year, with increases across all operations except Carmen de Andacollo
LOWER UNIT COSTS - Co said strong cost performance and lower smelter processing charges reduced copper net cash unit costs to US$1.77 per pound from US$2.09 per pound last year

Company press release: ID:nGNX3j2C72

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
C$4.52 bln
C$4.25 bln (9 Analysts)
Q3 Adjusted EPS
Beat
C$1.88
C$1.57 (11 Analysts)
Q3 EPS
 
C$3.24
 
Q3 Adjusted EBITDA
Beat
C$2.31 bln
C$2.02 bln (14 Analysts)

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 7 "strong buy" or "buy", 9 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the diversified mining peer group is "buy."
Wall Street's median 12-month price target for Teck Resources Ltd is C$98.00, about 11.2% above its October 28 closing price of C$88.10
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 18 three months ago

Reuters Recommended Reads
Oct 28 - Copper miner First Quantum beats Q3 profit estimates on higher production, prices; output guidance narrowed
Oct 27 - Freeport tops profit estimates on copper rally as Grasberg recovery continues
Oct 28 - Canada's Amerigo Resources Q3 net income surges on higher copper prices

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.)