Nexa Resources S.a Stock Earnings Reports

Nexa reported a strong Q3 2025 driven by higher volumes, improved byproduct prices and operational recovery. Consolidated zinc mining production was 84 kt (up 14% QoQ), with Aripuana delivering a record quarter and Vazante recovering from earlier disruptions. Smelting sales were 150 kt and Cajamarquilla hit a quarterly record. Net revenues were $764 million, adjusted EBITDA $186 million, net income $100 million ($0.52/share), and free cash flow $52 million. Mining cash cost (net of byproducts) improved to -$0.49/lb for the quarter and -$0.18/lb YTD. CapEx YTD was $227 million with full-year guidance at $347 million; exploration/program evaluation guidance remains $88 million. Liquidity was $790 million (including $320m undrawn RCF), average debt maturity 10.4 years, average cost 6.2%, and net leverage improved slightly to 2.2x. Management reiterated a commitment to deleveraging (targeting ~$500–$600m gross debt reduction over ~4 years and moving net leverage closer to ~1x) while prioritizing disciplined capital allocation. Key operational catalysts: arrival and upcoming commissioning of Aripuana’s fourth tailings filter (expected commissioning April 2026 with nameplate capacity in H2 2026), ongoing Cerro Pasco integration Phase 1 progress, and continued exploration that may extend asset lives. Market commentary was constructive for zinc, copper and silver; management highlighted low exchange inventories, tightening non-China supply, and supportive demand from galvanization and electrification. ESG milestones include LME Responsible Sourcing Track A compliance and renewable energy at Cajamarquilla. Management noted seasonal working capital improvement expected in Q4 and that 2026 CapEx has some flexibility but sustaining and strategic project spends (Aripuana, Cerro Pasco) remain priorities.