What was Southern Copper's financial performance in Q4 and full-year 2025?

Q4 2025 net sales were $3,869.8 million (+39.0%), net income attributable to SCC was $1,307.9 million (+64.7%), and adjusted EBITDA was $2,310.5 million (+53.3%). For full-year 2025, net sales were $13,420.0 million (+17.4%), net income $4,334.9 million (+28.4%), and adjusted EBITDA $7,822.4 million (+22.1%). All of these were record levels.

What dividend did the Board declare, and when is it payable?

On January 22, 2026, the Board authorized a $1.00 per share quarterly cash dividend and a stock dividend of 0.0085 shares per share. Holders of record at the close of business on February 10, 2026 will receive the dividend on February 27, 2026. Fractional shares will be paid in cash at $179.93, the average of the January 22 high and low prices.

Why did operating cash costs fall so sharply?

Operating cash cost per pound of copper net of by-product credits dropped to $0.58 for 2025 from $0.89 in 2024, a 33.7% decline. The main driver was a 34-cent increase in by-product revenue credits from higher molybdenum, zinc, and silver sales volumes and prices. Before by-product credits, cash cost per pound was $2.17 for 2025 versus $2.13 in 2024, so the improvement depends heavily on by-product prices.

What are the main capital investment risks and milestones?

The decade capital program exceeds $20.5 billion. Tia Maria (estimated $1.8 billion, 120,000 tonnes per year of SX-EW cathodes) was 24% complete at year-end, with $790 million committed and operations expected in 2027. Los Chancas (estimated $2.6 billion, start-up 2031) is blocked by illegal miners in the project area. Michiquillay (about $2.5 billion, start-up 2032) and the Mexican projects, including El Arco, remain in engineering or permitting stages.

How strong is the balance sheet and cash generation?

At December 31, 2025, cash and equivalents were $4,304.6 million and short-term investments were $604.6 million. Long-term debt was $6,750.7 million, up from $5,758.5 million a year earlier, after $493.8 million of new debt was incurred in 2025. Operating cash flow of $4,752.1 million less capital investments of $1,325.3 million implies roughly $3.4 billion of free cash flow, which covered $2,485.1 million of dividends paid in 2025.

SCCO 8-K: Earnings & Results

01—Abstract

Summary

Summary of the 8-K filed January 28, 2026. Cited figures are marked; the original filing is the authoritative source.

Southern Copper (SCCO) reported record fourth-quarter and full-year 2025 results, with net sales, net income, and adjusted EBITDA all at all-time highs.

Q4 2025 net sales rose 39.0% year over year to $3,869.8 million^a, and Q4 net income attributable to SCC rose 64.7% to $1,307.9 million, a 33.8% margin. For full-year 2025, net sales reached $13,420.0 million (+17.4%), net income $4,334.9 million (+28.4%), and adjusted EBITDA $7,822.4 million (+22.1%, a 58.3% margin). Growth came from higher volumes of molybdenum, zinc, and silver and from stronger prices for copper, molybdenum, zinc, and silver.

Operating cash cost net of by-product credits fell to $0.58^b per pound for the year from $0.89 in 2024, mainly because by-product revenue credits rose sharply. The 8-K itself is a furnished (not filed) report that attaches the earnings press release and discloses a Board-authorized dividend. The Board approved a quarterly cash dividend of $1.00 per share plus a stock dividend of 0.0085 shares per share, with a record date of February 10, 2026 and payment on February 27, 2026.

Fractional shares will be settled in cash at $179.93^c, the January 22, 2026 average of the day's high and low prices. Full-year 2025 dividends paid totaled $3.50 per share, versus $2.10 in 2024, and cash dividends paid were $2,485.1 million. The main investor considerations are the capital program and the balance sheet.

Management says the decade capital program exceeds $20.5 billion^d, including about $10.3 billion in Peru and about $10.2 billion in Mexico. Tia Maria is 24% complete with $790 million committed against an estimated $1.8 billion budget, with operations targeted for 2027. Los Chancas remains stalled by illegal mining in the project area.

Operating cash flow of $4,752.1 million less capital investments of $1,325.3 million implies roughly $3.4 billion of free cash flow for 2025. Cash and short-term investments totaled about $4.9 billion at year-end, against long-term debt of $6,750.7 million.

02—Key points

Key Highlights

Record Q4 2025 net sales of $3,869.8 million, up 39.0% year over year, driven by higher volumes of copper (+2.8%), molybdenum (+9.6%), zinc (+20.7%), and silver (+11.3%) and better prices for all main products.
Full-year 2025 net sales of $13,420.0 million (+17.4%), net income of $4,334.9 million (+28.4%), and adjusted EBITDA of $7,822.4 million (+22.1%), all records; FY adjusted EBITDA margin was 58.3%.
Operating cash cost net of by-product credits fell to $0.52/lb in Q4 2025 (from $0.96) and $0.58/lb for FY 2025 (from $0.89), mainly due to a 34-cent increase in by-product revenue credits.
Operating cash flow rose 7.5% to $4,752.1 million for FY 2025, though an increase in net operating assets partly offset higher net income.
Declared quarterly cash dividend of $1.00 per share plus a 0.0085-share stock dividend, payable February 27, 2026 to holders of record on February 10, 2026; fractional shares settled in cash at $179.93.
Capital program exceeds $20.5 billion this decade; Tia Maria (~$1.8 billion, 24% complete, operations targeted 2027) is the lead project, while Los Chancas is delayed by illegal mining.
Copper production of 954,270 tons for 2025 was in line with plan; management targets 1.6 million tons of copper annually by 2033.

03—Questions

Frequently Asked Questions

What was Southern Copper's financial performance in Q4 and full-year 2025?
Q4 2025 net sales were $3,869.8 million (+39.0%), net income attributable to SCC was $1,307.9 million (+64.7%), and adjusted EBITDA was $2,310.5 million (+53.3%). For full-year 2025, net sales were $13,420.0 million (+17.4%), net income $4,334.9 million (+28.4%), and adjusted EBITDA $7,822.4 million (+22.1%). All of these were record levels.
What dividend did the Board declare, and when is it payable?
On January 22, 2026, the Board authorized a $1.00 per share quarterly cash dividend and a stock dividend of 0.0085 shares per share. Holders of record at the close of business on February 10, 2026 will receive the dividend on February 27, 2026. Fractional shares will be paid in cash at $179.93, the average of the January 22 high and low prices.
Why did operating cash costs fall so sharply?
Operating cash cost per pound of copper net of by-product credits dropped to $0.58 for 2025 from $0.89 in 2024, a 33.7% decline. The main driver was a 34-cent increase in by-product revenue credits from higher molybdenum, zinc, and silver sales volumes and prices. Before by-product credits, cash cost per pound was $2.17 for 2025 versus $2.13 in 2024, so the improvement depends heavily on by-product prices.
What are the main capital investment risks and milestones?
The decade capital program exceeds $20.5 billion. Tia Maria (estimated $1.8 billion, 120,000 tonnes per year of SX-EW cathodes) was 24% complete at year-end, with $790 million committed and operations expected in 2027. Los Chancas (estimated $2.6 billion, start-up 2031) is blocked by illegal miners in the project area. Michiquillay (about $2.5 billion, start-up 2032) and the Mexican projects, including El Arco, remain in engineering or permitting stages.
How strong is the balance sheet and cash generation?
At December 31, 2025, cash and equivalents were $4,304.6 million and short-term investments were $604.6 million. Long-term debt was $6,750.7 million, up from $5,758.5 million a year earlier, after $493.8 million of new debt was incurred in 2025. Operating cash flow of $4,752.1 million less capital investments of $1,325.3 million implies roughly $3.4 billion of free cash flow, which covered $2,485.1 million of dividends paid in 2025.

04—Continue

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