Teck Resources Crushes Q2 Earnings Estimates on Copper Boom
Teck Resources Ltd., an integrated mining company, reported Q2 earnings that beat estimates. The company's adjusted EPS for the quarter was $1.39, surpassing the Zacks Consensus Estimate of 78 cents.
The improvement in earnings was largely due to higher base metal prices and increased sales volume of copper and zinc. Net sales for the company reached $2.6 billion, a 78% year-over-year increase from the same period last year.
The gross profit for Teck Resources was CAD$1.67 billion ($1.21 billion), representing a significant jump of 255% from the previous year's quarter. The EBITDA margin for the company also expanded to 60.8%, up from 35.7% in the same period last year.
The company's copper business drove its revenues and profits, with sales surging 85.8% year over year to CAD$2.7 billion ($1.95 billion). The copper segment's gross profit skyrocketed 309% year over year to CAD$1.34 billion ($972 million).