Freeport-McMoran Q1 Profit Falls 18% on Light Revenues; Misses Estimates (FCX)
Early on Thursday, leading copper and gold miner Freeport-McMoRan Copper & Gold Inc. (FCX) reported a lower first quarter profit on smaller revenues and higher expenses. Earnings and revenue both missed Wall Street estimates.
The Phoenix, Arizona-based company said its first quarter net income fell to $824 million, or 68 cents per share, from $1.001 billion, or 80 cents per share, a year ago. According to analysts polled by Thomson Reuters, the company was expected to earn 81 cents per share in the quarter.
Revenue for the quarter fell to $4.583 billion from $4.605 billion last year. Analysts were expecting revenues of $4.76 billion
Total costs and expenses in the quarter rose to $3.228 billion from $2.871 billion last year, putting pressure on overall profits.
In a joint statement, CEO Richard Adkerson and Chairman James Moffett said, “Our first-quarter results reflect our focus on strong and safe production, aggressive cost management and advancing financially attractive projects to grow our copper production, increase cash flows and provide strong returns for shareholders. We also completed attractive financing transactions during the quarter, providing low-cost debt to fund the pending oil and gas acquisitions. We look forward to completing the transactions in the second quarter and to executing our strategy of developing long-term resources to generate long-term value for shareholders through expanded investment opportunities.”
Freeport-McMoran shares were down 53 cents, or -1.93%, during morning trading on Thursday. The stock is down -19.12% year-to-date.
The Bottom Line
Shares of Freeport-McMoran (FCX) have a dividend yield of 4.55% based on Thursday’s intraday trading price of $27.47 and the company’s annualized dividend payout of $1.25 per share.
Freeport-McMoRan Copper & Gold Inc. (FCX) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.0 out of 5 stars.
Get FREE Dividend Tips, Updates & MoreWe respect your privacy
- Powerful dividend insights sent every weekday morning
- Gain instant access to actionable investing tips
- Strategically grow your portfolio’s profitability