Canada's Ero Copper Q3 revenue slightly beats on higher metal prices
Overview
Canada copper and gold miner's Q3 revenue slightly beat analyst expectations
Adjusted EBITDA for Q3 beat analyst consensus, driven by higher sales volumes and prices
Company reaffirmed copper production guidance, updated cost outlook due to inflation and FX
Outlook
Ero reaffirms 2026 copper production guidance at 67,500-77,500 tonnes
Company updates 2026 copper C1 cash cost guidance to $2.25-$2.45/lb, citing inflation and FX pressures
2026 gold production at Xavantina expected at 75,000-80,000 oz; C1 cash cost guidance raised to $1,650-$1,800/oz
Result Drivers
HIGHER SALES VOLUMES - Co said record financial results were supported by increased copper and gold sales volumes
FAVORABLE METAL PRICES - Co attributed stronger results to higher copper and gold prices
COST SAVINGS INITIATIVES - Co said cost savings from OneEro initiative contributed to results
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Slight Beat* | $348 mln | $346.15 mln (4 Analysts) |
Q3 Adjusted Net Income | $129.30 mln | ||
Q3 Net Income | $118 mln | ||
Q3 Adjusted EBITDA | Beat | $200.60 mln | $193.33 mln (8 Analysts) |
Q3 Cash Flow from Operations | $191.20 mln |
*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 "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 7 "hold" and no "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 Ero Copper Corp. is C$55.26, about 35.9% above its October 30 closing price of C$40.67
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 6 three months ago
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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.)