Freeport McMoRan Inc. (NYSE: FCX) delivered a commanding performance in its second-quarter and first-half 2025 financial results, underscoring its position as a global leader in copper, gold, and molybdenum production. The company reported a net income attributable to common stock of \(772 million (\)0.53 per share) for Q2 2025, with adjusted net income slightly higher at \(790 million (\)0.54 per share), reflecting strong operational execution and favorable commodity pricing.
In Q2 2025, Freeport produced 963 million pounds of copper, 317 thousand ounces of gold, and 22 million pounds of molybdenum. Copper sales reached 1.0 billion pounds, surpassing April 2025 guidance and exceeding Q2 2024 sales by approximately 9.1%. Gold sales also outperformed expectations at 522 thousand ounces, a 44.6% increase over the same period last year, driven by timing of refined gold shipments. Molybdenum production and sales were steady, with 22 million pounds produced and sold.
Freeport’s average realized prices in Q2 2025 were \(4.54 per pound for copper, \)3,291 per ounce for gold, and \(21.10 per pound for molybdenum. Impressively, the company's average unit net cash costs for copper mines were \)1.13 per pound, significantly below the April 2025 guidance of \(1.50 and down from \)1.73 in Q2 2024, reflecting enhanced by-product credits and operational efficiencies.
Operating cash flows totaled \(2.2 billion in Q2 2025, with full-year 2025 projections (excluding tariff impacts) estimated at approximately \)7.0 billion. Including a \(1.25 per pound premium on U.S. copper sales, operating cash flows could reach \)7.9 billion, highlighting Freeport’s strong cash-generating capabilities.
A major milestone was achieved with the startup of Freeport’s new large-scale copper smelter in Indonesia in May 2025, with first copper cathode production expected by July 2025. The company is advancing innovative copper leaching technologies and organic growth projects, targeting an annual run rate of 300 million pounds of incremental copper production from these initiatives by year-end.
Freeport is also navigating the implications of the U.S. government’s Section 232 investigation, which led to a 50% tariff on U.S. copper imports effective August 1, 2025. As the leading U.S. copper supplier, providing approximately 70% of total U.S. refined copper production, Freeport is well-positioned to benefit from this policy, with U.S. copper prices on the COMEX market rising about 25% above international prices.
As of June 30, 2025, Freeport held \(4.5 billion in cash and cash equivalents against \)9.3 billion in consolidated debt, with net debt at \(1.5 billion excluding project-specific debt. Capital expenditures in Q2 2025 totaled \)1.3 billion, focusing on major mining projects and new downstream processing facilities.
The company continues to return value to shareholders, repurchasing 1.5 million shares in Q2 2025 for \(52 million and declaring a \)0.15 per share dividend payable in August 2025.
Freeport’s management emphasizes its commitment to safe, efficient, and responsible production, leveraging technology to improve performance and reduce capital intensity. The company anticipates continued growth in copper supply from its U.S. and international operations, supported by significant organic growth projects and a strong balance sheet.
In prior earnings calls, Freeport highlighted its focus on operational efficiency, technology-driven leaching enhancements, and strategic capital allocation to growth projects. The current 8-K report confirms these themes with tangible results, including cost reductions, production milestones, and proactive responses to tariff-related market changes.
For investors and industry watchers, Freeport’s Q2 2025 results demonstrate resilience amid evolving market dynamics and regulatory environments, reinforcing its stature as a foremost copper producer globally.
Source document: Freeport 8-K Q2 2025