Freeport McMoRan 3Q profit falls
PHOENIX (AP) — Freeport-McMoRan Copper & Gold Inc. said Monday that its third-quarter net income slid 22 percent on lower production and sales.
The Phoenix company earned $824 million, or 86 cents per share, compared with $1.05 billion, or $1.10 per share a year ago.
Third-quarter earnings included a gain related to income taxes, environmental obligations and litigation reserves totaling 18 cents per share. That compares with charges of 7 cents per share a year earlier.
Excluding the one-time gains, profit was 68 cents per share. Revenue fell 15 percent to $4.42 billion.
Analysts, who generally exclude one-time items, expected a profit of 73 cents per share on revenue of $4.39 billion, according to FactSet.
Gold production tumbled 47 percent, sales were down by half. Cooper production slipped 1 percent, while sales fell almost 3 percent. Freeport's average realized price for both increased during the quarter.
The company was hurt during the quarter by lower ore grades in Indonesia. That offset production growth in North America and Africa. Freeport operates the world's largest copper and gold mine in Indonesia.
Freeport McMoRan shares fell 68 cents to $40.50 in afternoon trading.