Grupo Mexico, one of the world’s largest copper producers, nearly doubled its fourth-quarter net profit on higher metals prices and stronger volumes, it said on Tuesday, more than offsetting weaker infrastructure results tied to suspended oil platforms and foreign-exchange headwinds.
The conglomerate, which last year became the largest listed company on the Mexican market, saw net profits reach $1.43 billion, above the $1.32 billion estimate from analysts polled by LSEG.
Earnings were boosted by increased production, with copper output climbing 2% and gold jumping 14%. Prices also leaped, with copper up 22%, silver up 74% and gold up 56%, Grupo Mexico said.
Revenues for the group climbed 34% to $5.15 billion, above analysts’ $4.87 billion estimate.
The miner is eyeing billions of dollar in investments over the next decade, with projects pending at home and in the US, Peru and Spain.
Grupo Mexico said its US unit, Asarco, could double mine production due to new copper policies outlined by President Donald Trump. It added that it was moving forward with an assessment to reopen and expand its Hayden smelter and Amarillo refinery in the US.
In Mexico, the firm said it is in talks with the current administration to resume more than $10 billion in investments after permits were paused under the previous government.
Grupo Mexico’s infrastructure division swung to a net loss in the quarter, weighing down results, pressured by the suspension of four of offshore oil platforms by state-owned producer Pemex and foreign-exchange effects.
(By Kylie Madry; Editing by Natalia Siniawski)
