FCX · 10-Q · 2026Q2 · Full report
Operating Income and Margins
FREEPORT-MCMORAN INC · 2026-08-06 · Importance 54 · Surprise 40 · From source text
First-half operating income increased 11% to $4.1 billion from $3.7 billion, despite flat revenue, while second-quarter operating income declined to $2.0 billion from $2.4 billion. Consolidated production and delivery costs increased to $8.4 billion in the first half from $8.0 billion, driven by higher Atlantic Copper copper-purchase costs and higher supplies, diesel and consumables costs. Copper unit site production and delivery costs rose to $3.28 per pound in both the second quarter and first half, versus $2.71 and $2.65 per pound in the comparable 2025 periods. Indonesia recorded $690 million of idle facility and restoration costs in the first half and $284 million in the second quarter related to the Grasberg mud rush incident.
Key facts
- Consolidated production and delivery costs totaled $4.3 billion in both second-quarter 2026 and 2025, $8.4 billion for the first six months of 2026 and $8.0 billion for the first six months of 2025. source
- Operating income from our U.S. copper mines more than doubled in the first six months of 2026, compared to the first six months of 2025, primarily reflecting higher average realized copper and molybdenum prices. source
- Consolidated depreciation, depletion and amortization totaled $523 million in second-quarter 2026, $668 million in second-quarter 2025, $1.0 billion for the first six months of 2026 and $1.1 billion for the first six months of 2025. source
- Consolidated unit site production and delivery costs for copper mines averaged $3.28 per pound in second-quarter 2026 and for the first six months of 2026, compared to $2.71 per pound in second-quarter 2025 and $2.65 per pound for the first six months of 2025. source
- Royalties totaled $60 million in second-quarter 2026, $135 million in second-quarter 2025, $113 million for the first six months of 2026 and $203 million for the first six months of 2025. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| operating_income | negative | realized | -5.8% | Consolidated production and delivery costs totaled $4.3 billion in both second-quarter 2026 and 2025, $8.4 billion for the first six… |
| operating_income | positive | realized | +2.1% | Consolidated depreciation, depletion and amortization totaled $523 million in second-quarter 2026, $668 million in second-quarter 2025,… |
| operating_income | positive | realized | +1.4% | Consolidated depreciation, depletion and amortization totaled $523 million in second-quarter 2026, $668 million in second-quarter 2025,… |
| operating_income | positive | realized | +1.3% | Royalties totaled $60 million in second-quarter 2026, $135 million in second-quarter 2025, $113 million for the first six months of 2026… |
| operating_income | positive | realized | +1.1% | Royalties totaled $60 million in second-quarter 2026, $135 million in second-quarter 2025, $113 million for the first six months of 2026… |
| operating_income | positive | realized | — | Operating income from our U.S. copper mines more than doubled in the first six months of 2026, compared to the first six months of 2025,… |
| operating_income | negative | realized | — | Consolidated unit site production and delivery costs for copper mines averaged $3.28 per pound in second-quarter 2026 and for the first… |
| operating_income | negative | realized | — | Consolidated unit site production and delivery costs for copper mines averaged $3.28 per pound in second-quarter 2026 and for the first… |