Freeport-McMoran beats profit estimates, remains bullish on copper demand
Rewrites throughout, adds details from conference call in paragraph 4 through 7
July 23 (Reuters) -Miner Freeport-McMoran FCX.N said on Tuesday it remained bullish on global copper demand after higher prices of the red metal helped the company beat second-quarter profit estimates.
Copper prices rose during the reported quarter on property stimulus measures and better-than-expected industrial output data in China.
The robust prices helped offset lower production and sales in the quarter, as the company faced lower ore grades and shutdowns due to planned maintenance in North America as well as delays in securing export permit in Indonesia.
The company said some of the unplanned maintenance and related disruptions are continuing in the current quarter.
"We are focussed on increasing productivity in North America. We've got a series of metrics we are following that will drive the production higher ... we feel we're turning the corner," CEO Kathleen Quirk said during a post-earnings call.
Talking about long-term plans, Freeport said it expects new leaching technologies to help ramp up its copper production by about 300 million to 400 million pounds per year in 2026.
The company forecast continued demand growth for copper in the "foreseeable future", helped by massive investment in the power grid, renewable generation technology, infrastructure and transportation.
The company reported an adjusted profit of 46 cents per share for the quarter ended June 30, compared with analysts' average estimate of 38 cents, according to LSEG data.
Reporting by Tanay Dhumal in Bengaluru; Editing by Maju Samuel
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