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| Grupo Mexico |
Grupo Mexico copper production declined slightly in Q1 2025, but gains in zinc and molybdenum output, combined with price increases, drove strong revenue growth. The mining giant reported a 0.9% drop in copper output to 265,632 metric tonnes due to weaker performance at Asarco and Minera Mexico. Despite this, higher metal prices helped the company maintain profitability.
Zinc and Molybdenum Boost Mining Revenue
Grupo Mexico saw notable increases in zinc and molybdenum production. Zinc output soared by 49.3% to 39,375t, and molybdenum rose by 8.5% to 7,683t. The company attributed the gains to richer ore grades discovered at key sites. Meanwhile, copper prices surged 18.4%, while zinc and molybdenum rose 16.2% and 3%, respectively. These favorable price conditions led to a 18.7% increase in mining division revenue, reaching $3.35 billion.
Total Profits and Rail Freight Show Divergent Trends
Total profits across Grupo Mexico grew 15% to $2.32 billion in the quarter, despite logistical headwinds in its rail division. The company’s transportation unit moved 487,639 carloads from January to March, marking a 6.1% year-over-year decline. Still, the robust mining performance, driven by both production and commodity price strength, more than compensated for the transportation shortfall.
The Metalnomist Commentary
Grupo Mexico copper production faced short-term operational challenges, but strong commodity pricing and higher zinc and molybdenum grades preserved momentum. The company remains well-positioned to benefit from rising global demand for base and minor metals.
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