third-quarter 2026
Filed Oct 27, 2026Freeport Reports Third-Quarter and Nine-Month 2026 Results
Third-quarter revenue, operating income, net income attributable to common stock and operating cash flows were higher than the prior-year quarter, supported by materially higher realized copper, gold and molybdenum prices. Results were tempered by lower copper and gold sales, particularly in Indonesia during the Grasberg Block Cave ramp-up, and higher consolidated unit net cash costs.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue - third-quarter 2026GAAP | $7.55B | – | – |
| Operating income - third-quarter 2026GAAP | $2.35B | – | – |
| Net income attributable to common stock - third-quarter 2026GAAP | $1.17B | – | – |
| Diluted net income per share of common stock - third-quarter 2026GAAP | $0.81 | – | – |
| Adjusted net income attributable to common stock - third-quarter 2026non-GAAP | $1.27B | – | – |
| Adjusted net income per share - third-quarter 2026non-GAAP | $0.88 | – | – |
| Operating cash flows - third-quarter 2026GAAP | $1.98B | – | – |
| Capital expenditures - third-quarter 2026GAAP | $1.16B | – | – |
| Consolidated copper production - third-quarter 2026other | 832 million pounds | – | – |
| Consolidated copper sales, excluding purchases - third-quarter 2026other | 749 million pounds | – | – |
| Average realized copper price - third-quarter 2026other | $6.54 per pound | – | – |
| Consolidated unit net cash costs - third-quarter 2026non-GAAP | $2.07 per pound of copper | – | – |
| Consolidated gold production - third-quarter 2026other | 234 thousand ounces | – | – |
| Consolidated gold sales - third-quarter 2026other | 105 thousand ounces | – | – |
| Average realized gold price - third-quarter 2026other | $4,273 per ounce | – | – |
| Consolidated molybdenum production - third-quarter 2026other | 22 million pounds | – | – |
| Consolidated molybdenum sales, excluding purchases - third-quarter 2026other | 22 million pounds | – | – |
| Average realized molybdenum price - third-quarter 2026other | $32.46 per pound | – | – |
| Revenue - first nine months of 2026GAAP | $20.81B | – | – |
| Operating income - first nine months of 2026GAAP | $6.49B | – | – |
| Net income attributable to common stock - first nine months of 2026GAAP | $3.04B | – | – |
| Diluted net income per share of common stock - first nine months of 2026GAAP | $2.10 | – | – |
| Adjusted net income attributable to common stock - first nine months of 2026non-GAAP | $3.19B | – | – |
| Adjusted net income per share - first nine months of 2026non-GAAP | $2.20 | – | – |
| Operating cash flows - first nine months of 2026GAAP | $5.52B | – | – |
| Capital expenditures - first nine months of 2026GAAP | $3.24B | – | – |
| Consolidated copper production - first nine months of 2026other | 2,280 million pounds | – | – |
| Consolidated copper sales, excluding purchases - first nine months of 2026other | 2,116 million pounds | – | – |
| Consolidated gold production - first nine months of 2026other | 523 thousand ounces | – | – |
| Consolidated gold sales - first nine months of 2026other | 349 thousand ounces | – | – |
| Consolidated molybdenum production - first nine months of 2026other | 67 million pounds | – | – |
| Consolidated molybdenum sales, excluding purchases - first nine months of 2026other | 71 million pounds | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| U.S. Copper MinesThird-quarter 2026 copper sales were 333 million pounds versus 339 million pounds in third-quarter 2025. Extreme weather conditions adversely affected operating rates and productivity. | $50M | – | – |
| South America OperationsCopper sales were 263 million pounds versus 278 million pounds in third-quarter 2025, primarily reflecting slightly lower production from lower ore grades and the timing of shipments. | $1.65B | – | – |
| Indonesia OperationsCopper sales were 153 million pounds versus 360 million pounds and gold sales were 98 thousand ounces versus 332 thousand ounces, primarily reflecting lower operating rates during the Grasberg Block Cave ramp-up and a deferral of approximately 60 thousand ounces of refined gold to fourth-quarter 2026. | $1.48B | – | – |
| Molybdenum MinesProduction totaled 8 million pounds in both third-quarter 2026 and third-quarter 2025. Average unit net cash costs were $20.04 per pound versus $19.41 per pound, primarily reflecting higher costs for supplies, labor and energy. | $0 million | – | – |
| U.S. Rod & RefiningThe segment reported unaffiliated-customer revenue of $2,359 million. | $2.36B | – | – |
| Atlantic CopperThe segment reported unaffiliated-customer revenue of $1,249 million. | $1.25B | – | – |
| Corporate, Other & EliminationsThe category reported unaffiliated-customer revenue of $767 million. | $767M | – | – |
year 2026 outlook
- Tax rateapproximately 30%, including estimated effective rates of 40% for Peru, 36% for Indonesia and 10% for the U.S. (associated with CAMT provisions)
- NoteConsolidated sales are expected to approximate 3.0 billion pounds of copper, 649 thousand ounces of gold and 93 million pounds of molybdenum for the year 2026.
- NoteFourth-quarter 2026 sales are expected to include 875 million pounds of copper, 300 thousand ounces of gold and 22 million pounds of molybdenum.
- NoteConsolidated unit net cash costs are expected to average $1.90 per pound of copper for the year 2026, including $1.68 per pound of copper in fourth-quarter 2026.
- NoteOperating cash flows are expected to approximate $8.5 billion, net of $0.6 billion of working capital and other uses, for the year 2026, assuming prices of $6.50 per pound for copper, $4,000 per ounce for gold and $32.00 per pound for molybdenum in fourth-quarter 2026.
- NoteCapital expenditures are expected to approximate $4.4 billion, including $3.0 billion for major mining projects, for the year 2026.
- NoteConsolidated copper sales from U.S. copper mines are expected to approximate 1.3 billion pounds for the year 2026.
- NoteAverage unit net cash costs for the U.S. copper mines are expected to approximate $3.08 per pound of copper for the year 2026.
- NoteCopper sales from South America operations are expected to approximate 1.0 billion pounds for the year 2026.
- NoteAverage unit net cash costs for South America operations are expected to approximate $2.59 per pound of copper for the year 2026.
- NoteConsolidated sales volumes from PTFI are expected to approximate 0.7 billion pounds of copper and 632 thousand ounces of gold for the year 2026.
- NoteAverage unit net cash credits for PTFI are expected to approximate $1.25 per pound of copper for the year 2026.
- NoteAverage unit net cash costs for the Molybdenum mines are expected to approximate $18.66 per pound of molybdenum for the year 2026.
- NotePTFI continues to expect to reach 80% of capacity in mid-2027 and approach full capacity by year-end 2027.
- NoteFCX is targeting an increase in production from leaching and technology innovation initiatives from the current run rate of approximately 220 million pounds of copper per annum to 300 million pounds in 2027.
Capital returns
- During third-quarter 2026, FCX purchased 1.4 million shares of its common stock for a total cost of $102 million ($70.75 average cost per share).
- During the first nine months of 2026, FCX purchased 4.9 million shares for a total cost of $305 million ($62.69 average cost per share).
- During the first nine months of 2026, FCX returned $955 million to shareholders, consisting of $650 million in common stock dividends and $305 million in share repurchases.
- On September 23, 2026, the Board declared cash dividends totaling $0.15 per share, including a $0.075 per share quarterly base cash dividend and a $0.075 per share quarterly variable, performance-based cash dividend, payable on November 2, 2026 to stockholders of record as of October 15, 2026.
- At October 26, 2026, FCX had purchased 56.8 million shares for a total cost of $2.3 billion ($40.58 average cost per share) under its $5.0 billion share repurchase program.
What drove it
- Average realized prices were $6.54 per pound for copper, $4,273 per ounce for gold and $32.46 per pound for molybdenum in third-quarter 2026.
- Favorable pricing for copper and molybdenum drove strong margins, according to management.
- Third-quarter copper production of 832 million pounds and gold production of 234 thousand ounces were in line with expectations.
- PTFI’s smelter successfully re-commenced operations in late August 2026, and ramp-up activities were proceeding in line with expectations.
- Incremental copper production from leaching and technology innovation initiatives totaled 55 million pounds in third-quarter 2026 and 156 million pounds for the first nine months of 2026.
- PTFI received confirmation of income tax benefits associated with its smelter development, including benefits attributable to a six-year incentive period from 2025 through 2030.
Concerns
- Third-quarter consolidated copper sales of 749 million pounds were below third-quarter 2025 sales of 977 million pounds, primarily reflecting lower operating rates at PTFI during the Grasberg Block Cave ramp-up and shipment timing.
- Third-quarter consolidated gold sales of 105 thousand ounces were below production of 234 thousand ounces, primarily resulting from in-process inventories at smelting and refining operations and timing of sales.
- Indonesia copper sales of 153 million pounds and gold sales of 98 thousand ounces were lower than third-quarter 2025 sales of 360 million pounds and 332 thousand ounces, respectively.
- Consolidated unit net cash costs were $2.07 per pound of copper, compared with $1.40 per pound of copper in third-quarter 2025.
- U.S. copper mine operating rates were approximately 3% to 5% below expectations and operating rates achieved in second-quarter 2026 because of increased frequency of extreme weather conditions.
- In Indonesia, extended periods without precipitation may impact future mill rates.
- PTFI is seeking clarity from the Indonesia government on administrative procedures for refined gold exports because current regulations specifying a 10% export duty conflict with the terms in PTFI’s IUPK.
What to watch
- PTFI’s Grasberg Block Cave ramp-up toward 80% of capacity in mid-2027 and approaching full capacity by year-end 2027.
- The fourth-quarter 2026 release of deferred PTFI inventory, including projected sales of 875 million pounds of copper and 300 thousand ounces of gold.
- Normalization of PTFI smelting and refining operations following the late-August 2026 re-commencement of PTFI’s smelter.
- An expected fourth-quarter 2026 investment decision on the potential Bagdad concentrator expansion.
- Progress on El Abra permitting after the March 2026 submission of its environmental impact study.
- Progress toward formal extension of PTFI’s IUPK and operating rights beyond 2041.
Balance sheet and cash flow
- Cash and cash equivalents were $4,335 million at September 30, 2026, compared with $3,824 million at December 31, 2025.
- Total debt, including current portion, was $9,398 million at September 30, 2026, compared with $9,298 million at September 30, 2025.
- FCX net debt, excluding debt for PTFI’s downstream processing facilities, was $1,826 million at September 30, 2026.
- FCX had $3.0 billion of availability under its revolving credit facility; PTFI and Cerro Verde had $1.5 billion and $350 million, respectively, of availability under their revolving credit facilities.
- Third-quarter 2026 operating cash flows totaled $2.0 billion, net of $0.4 billion of working capital and other uses.
- First-nine-month 2026 operating cash flows totaled $5.5 billion, net of $0.8 billion of working capital and other uses.
- Third-quarter 2026 capital expenditures totaled $1.2 billion, including $0.7 billion for major mining projects.
- First-nine-month 2026 capital expenditures totaled $3.2 billion, including $2.0 billion for major mining projects.
Analysis
Freeport reported stronger third-quarter financial results versus the prior-year period. Revenue was $7,546 million versus $6,972 million, operating income was $2,353 million versus $1,972 million, and net income attributable to common stock was $1,174 million, or $0.81 per diluted share, versus $674 million, or $0.46 per diluted share. Adjusted net income attributable to common stock was $1,275 million, or $0.88 per share, compared with $722 million, or $0.50 per share. Higher realized prices were the principal financial driver, with copper at $6.54 per pound, gold at $4,273 per ounce and molybdenum at $32.46 per pound.
Volume performance was mixed. Consolidated copper production of 832 million pounds and gold production of 234 thousand ounces were in line with expectations, but sales lagged production as PTFI accumulated in-process inventory at its Indonesian smelting operations. Copper sales were 749 million pounds, compared with 977 million pounds in third-quarter 2025, while gold sales were 105 thousand ounces, compared with 336 thousand ounces. Indonesia was the main source of the shortfall: PTFI sold 153 million pounds of copper and 98 thousand ounces of gold as the Grasberg Block Cave ramp-up continued and approximately 60 thousand ounces of refined gold were deferred from the third quarter to the fourth quarter.
Margins remained strong in absolute terms but costs increased. Consolidated unit net cash costs were $2.07 per pound of copper, compared with $1.40 per pound in the prior-year quarter, reflecting lower copper and gold volumes at PTFI and higher energy and consumable costs. U.S. mine operating rates were affected by extreme weather and were approximately 3% to 5% below expectations and second-quarter 2026 operating rates. South America also posted lower copper sales, with lower ore grades and shipment timing affecting volumes. PTFI incurred idle facility, direct recovery and restoration costs of $244 million in the quarter, which were excluded from consolidated unit net cash costs.
Cash generation supported continued shareholder distributions and investment. Operating cash flows were $2.0 billion in the quarter, net of $0.4 billion of working capital and other uses, while capital expenditures were $1.2 billion, including $0.7 billion for major mining projects. FCX returned $955 million to shareholders in the first nine months through $650 million of dividends and $305 million of repurchases. At September 30, 2026, cash and cash equivalents were $4,335 million, consolidated debt was $9,398 million and net debt excluding PTFI downstream-processing debt was $1,826 million.
The full-year outlook embeds a substantial fourth-quarter recovery in sales, particularly at PTFI. FCX expects 2026 consolidated sales of approximately 3.0 billion pounds of copper, 649 thousand ounces of gold and 93 million pounds of molybdenum, including fourth-quarter sales of 875 million pounds of copper and 300 thousand ounces of gold. It expects full-year operating cash flows of approximately $8.5 billion and capital expenditures of approximately $4.4 billion. The operating execution focus is the Grasberg ramp-up, with PTFI targeting 80% of capacity in mid-2027 and approaching full capacity by year-end 2027, alongside progress on U.S. leach initiatives, the Bagdad expansion decision and El Abra permitting.
Management, verbatim
The Freeport team delivered strong financial results in the third quarter and achieved several important milestones to drive value and support future growth. We made continued steady progress with our Grasberg ramp-up and advanced innovative leach and technology initiatives in our Americas business to enhance performance and growth options.
Kathleen Quirk, President and Chief Executive Officer
Favorable pricing for our products, particularly for copper and molybdenum, drove strong margins with substantial conversion to bottom-line results, highlighting the strength of our diversified portfolio.
Kathleen Quirk, President and Chief Executive Officer
Not in the filing
stated, not guessed- GAAP gross margin
- Non-GAAP gross margin
- Free cash flow
- Prior-quarter comparisons for reported third-quarter metrics
- Total revenue guidance
- Prior-release outlook needed to assess actual results versus prior guidance
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.