Hudbay Minerals Inc
Q1 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +4.66%.
Did HBM Beat Earnings? Q1 2026 Results
Hudbay Minerals kicked off fiscal 2026 with a decisive beat on both the top and bottom lines, as the Canadian miner reported first-quarter revenue of $757.30 million, up 27.3% year-over-year and ahead of the $687.05 million consensus estimate by 10.23%, while adjusted EPS of $0.40 cleared the $0.34 Wall Street forecast by 16.55%. The central driver was a powerful combination of surging gold by-product credits and disciplined cost control; realized gold prices of $4,468 per ounce, compared to $3,002 per ounce a year ago, pushed consolidated cash costs net of by-product credits to negative $1.80 per pound of copper, well below the company's own annual guidance range of negative $0.30 to negative $0.10. Adjusted EBITDA reached $421.90 million and free cash flow came in at $102.30 million, helping Hudbay close the quarter with over $1 billion in cash and near-zero net debt following the $600 million Copper World joint venture with Mitsubishi. Management reaffirmed full-year copper production guidance of 110,000 to 138,000 tonnes and projected a 24% increase in average annual consolidated copper production over the next three years.
- Higher realized metal prices across all commodities, especially copper ($5.81/lb) and gold ($4,468/oz)
- Strong gold by-product credits representing 39% of gross revenue
- Industry-leading cost control with consolidated cash cost of negative $1.80 per pound of copper
- Record quarterly mill throughput at Peru averaging approximately 90,700 tonnes per day
- Completion of secondary SAG mill at Copper Mountain improving throughput by 36% vs Q4 2025
- Closing of $600 million Mitsubishi Copper World joint venture transaction
- Record total material movement at British Columbia of approximately 25.4 million tonnes
- New Britannia mill gold recoveries of 90% reflecting ongoing optimization efforts
“Hudbay delivered another quarter of record revenue, record adjusted EBITDA and record adjusted earnings, driven by steady operating performance, expanded margins from strong copper and gold exposure and a focus on cost control across the business.”
Hudbay Minerals CEO, on the earnings call
Forward Guidance & Outlook
Hudbay reaffirmed full year 2026 consolidated production guidance of 110,000 to 138,000 tonnes of copper and 217,000 to 272,000 ounces of gold. Cost guidance was also reaffirmed with consolidated cash cost of $(0.30) to $(0.10) per pound of copper and sustaining cash cost of $1.70 to $2.10 per pound of copper. Three-year production outlook projects consolidated copper production averaging 147,000 tonnes per year (24% above 2025 levels), with 2027-2028 averaging 159,000 tonnes. The Copper World definitive feasibility study is on track for mid-2026 completion with a sanctioning decision expected later in 2026. Production in the second half of 2026 is expected to be higher than the first half across all operations, driven by grade sequencing, higher ore output, and mill improvement projects. The ASCU acquisition is expected to close in Q2 2026. British Columbia mill is on track to achieve its permitted capacity of 50,000 tonnes per day in the second half of 2026. Peru expects higher mill throughput starting H2 2026 with the installation of two pebble crushers. Manitoba production is expected to be higher in H2 2026 due to grade sequencing and higher ore output from Lalor, with the 1901 deposit progressing toward full production in late 2027.
HBM YoY Financials
HBM Revenue by Segment
HBM Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.