Lundin Mining (LUN) Q1 2026 earnings summary

Executive summary

• Achieved strong operational and financial performance in Q1 2026, producing 79,934 tonnes of copper and 31,500 ounces of gold at a consolidated C1 cash cost of $1.66/lb, with revenue of $1,159 million and $380 million in free cash flow.

• Net cash position improved to $250 million at quarter-end, supported by robust cash flows and an upsized $4.5 billion revolving credit facility.

• Completed sale of Eagle Mine, increasing copper revenue share to 85% and transitioning to a copper-dominant portfolio.

• Advanced growth initiatives, including acquiring an additional 5% interest in Caserones and 31% in Los Helados, expanding copper resources by 115% year-over-year.

• Published the Vicuña Project technical study, confirming Tier 1 status and outlining a staged development plan.

Financial highlights

• Q1 2026 revenue was $1,159 million, with adjusted EBITDA of $627 million and adjusted earnings of $265 million ($0.31/share).

• Free cash flow from operations totaled $380 million; adjusted operating cash flow was $450 million.

• Consolidated C1 cash cost was $1.66/lb, trending below the guidance range.

• Sustaining CapEx was $126 million; expansionary CapEx was $54 million, with $52 million at Vicuña.

• Net cash position at quarter-end was $249 million, up from $77 million at year-end.

Outlook and guidance

• Remain on track to meet full-year production guidance of 310–335 kt copper and 134–149 koz gold, with C1 cash cost guidance of $1.90–$2.10/lb.

• Current cash costs are below guidance due to higher by-product credits.

• Full-year sustaining CapEx and Vicuña project spend guidance remain unchanged.

• Expect stronger gold production in the second half of the year due to grade profiles at Candelaria and Chapada.

• Fully funded for initial Vicuña construction stage, supported by upsized credit facility and net cash position.