Freeport-McMoRan’s 4Q17 earnings call
Freeport-McMoRan (FCX), the leading US-based copper miner (SCCO) (XME), released its 4Q17 earnings on January 25, 2018. The company held its 4Q17 earnings call the same day to discuss the results with analysts. Regarding Freeport’s financial performance, 4Q17 was a healthy quarter.
4Q17 financial performance
Freeport posted revenues of $5.0 billion in 4Q17—compared to revenues of $4.3 billion in 3Q17 and $4.4 billion in 4Q16. The company’s 4Q17 revenues topped analysts’ estimates by a wide margin. Freeport generated an adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) of $2.1 billion in 4Q17—the highest quarterly adjusted EBITDA that it has posted since 3Q14. In fiscal 2017, Freeport generated an adjusted EBITDA of $6.0 billion. Read Freeport-McMoRan’s 4Q17 Earnings: What You Need to Know for a broad overview of Freeport’s 4Q17 financial performance.
Along with the financial performance, investors follow a company’s earnings call. During the earnings call, management discusses several macro and company-specific factors. Management also shares the company’s short-term and long-term plans.
In this series, we’ll look at the key takeaways from Freeport’s 4Q17 earnings call. Specifically, we’ll see what Freeport had to say about copper markets. Freeport also discussed its ongoing negotiations with the Indonesian government during the 4Q17 earnings call.
Let’s start by analyzing why Freeport sounded optimistic about copper markets (GLEN-L) (ANTO).