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found out about this one from Lizard King...stock has been performing very well 
=DJ Southern Peru Copper Seen Beating Output Estimates
24 Oct 12:58
By Robert Kozak
Of DOW JONES NEWSWIRES
LIMA (Dow Jones)--Southern Peru Copper Corp. (PCU) could overshoot recent
company guidance for output of copper for this year, analysts said Friday.
At the rate the company has increased production, it could produce more than
the 800 million pounds of copper for this year given by the company in recent
guidance.
"For this year we could be talking about having more than that, at 810
million pounds or 815 million pounds," said Luis Bravo, chief of analysis with
brokerage Centura SAB.
"They (the company) spoke of 800 million pounds but with the rhythm that they
produced in the third quarter, they could surpass that," he said.
The company said late Thursday that output rose in the third quarter to 217.2
million pounds of the red metal, 13% higher than in the same quarter a year
before.
The main reasons were a 18.9 million pound increase from the Toquepala mine,
tied to higher concentrator capacity, and an extra 8.1 million pounds from the
Cuajone mine, due in part of higher ore grades and improved recovery.
Company officials have also forecast output of 850 million pounds of copper
for next year.
Revenues Seen Higher
Southern Peru Copper also surprised on the upside with its third-quarter
revenue number, which reached $209.5 million in the third quarter compared with
$169.9 million in the third quarter of 2002.
"The company surprised us in terms of sales volumes. They pretty much sold
what they produced," said Juan Miguel Pflucker, a mining analyst with Banco de
Credito.
The company has been cutting costs, but rising copper prices have clearly
helped, with estimates of $4 million to $5 million more in annual net earnings
from every one cent per pound average annual increase in the price of copper.
The company earned $69.1 million in 2002, when copper prices were at $0.71
per pound.
The average price for copper on the London Metal Exchange and the New York
Commodity Exchange in the third quarter of 2003 was $0.80 cents per pound
compared with $0.69 cents in the year earlier period, the company noted.
"The average annual price is on its way to be about $0.78 per pound and based
on that I will definitely change my early projection in term of net income,
which was $95 million (for 2003). I will have to raise that bar," Pflucker
said.
JP Morgan Securities Inc said that the quarterly revenue number was 14%
higher than estimated.
"While commodity prices were known to be up nicely versus the previous
quarter, sequential improvement on the volume front came in much better than
expected," it added in an equity research note.
The company posted third-quarter net income of $36.1 million, better than
forecasts, and compared with net income of $14.4 million in the same quarter a
year before.
The nine-month net income reached $76.1 million, compared to $45.8 million in
the same period a year earlier.
Southern Peru Copper, which operates mines, smelting and refining capacities,
also benefited from higher sales volumes and better prices for silver and
molybdenum.
Grupo Mexico (GMEXICO.MX) owns 54.2% of the company, while other shareholders
include Cerro Trading Co. with 14.2% and Phelps Dodge Overseas Capital Corp.
(PD) with 14.0%.
=DJ Southern Peru Copper Seen Beating Output Estimates
24 Oct 12:58
By Robert Kozak
Of DOW JONES NEWSWIRES
LIMA (Dow Jones)--Southern Peru Copper Corp. (PCU) could overshoot recent
company guidance for output of copper for this year, analysts said Friday.
At the rate the company has increased production, it could produce more than
the 800 million pounds of copper for this year given by the company in recent
guidance.
"For this year we could be talking about having more than that, at 810
million pounds or 815 million pounds," said Luis Bravo, chief of analysis with
brokerage Centura SAB.
"They (the company) spoke of 800 million pounds but with the rhythm that they
produced in the third quarter, they could surpass that," he said.
The company said late Thursday that output rose in the third quarter to 217.2
million pounds of the red metal, 13% higher than in the same quarter a year
before.
The main reasons were a 18.9 million pound increase from the Toquepala mine,
tied to higher concentrator capacity, and an extra 8.1 million pounds from the
Cuajone mine, due in part of higher ore grades and improved recovery.
Company officials have also forecast output of 850 million pounds of copper
for next year.
Revenues Seen Higher
Southern Peru Copper also surprised on the upside with its third-quarter
revenue number, which reached $209.5 million in the third quarter compared with
$169.9 million in the third quarter of 2002.
"The company surprised us in terms of sales volumes. They pretty much sold
what they produced," said Juan Miguel Pflucker, a mining analyst with Banco de
Credito.
The company has been cutting costs, but rising copper prices have clearly
helped, with estimates of $4 million to $5 million more in annual net earnings
from every one cent per pound average annual increase in the price of copper.
The company earned $69.1 million in 2002, when copper prices were at $0.71
per pound.
The average price for copper on the London Metal Exchange and the New York
Commodity Exchange in the third quarter of 2003 was $0.80 cents per pound
compared with $0.69 cents in the year earlier period, the company noted.
"The average annual price is on its way to be about $0.78 per pound and based
on that I will definitely change my early projection in term of net income,
which was $95 million (for 2003). I will have to raise that bar," Pflucker
said.
JP Morgan Securities Inc said that the quarterly revenue number was 14%
higher than estimated.
"While commodity prices were known to be up nicely versus the previous
quarter, sequential improvement on the volume front came in much better than
expected," it added in an equity research note.
The company posted third-quarter net income of $36.1 million, better than
forecasts, and compared with net income of $14.4 million in the same quarter a
year before.
The nine-month net income reached $76.1 million, compared to $45.8 million in
the same period a year earlier.
Southern Peru Copper, which operates mines, smelting and refining capacities,
also benefited from higher sales volumes and better prices for silver and
molybdenum.
Grupo Mexico (GMEXICO.MX) owns 54.2% of the company, while other shareholders
include Cerro Trading Co. with 14.2% and Phelps Dodge Overseas Capital Corp.
(PD) with 14.0%.