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

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:

Key Details

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

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(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.)