Chile's Codelco logs $4.85 billion pre-tax profit in 'very difficult' 2025

SANTIAGO, March 27 (Reuters) - Chilean state-owned Codelco [RIC:RIC:COBRE.UL], the world's largest copper producer, on Friday reported a pre-tax profit of $4.85 billion in 2025.

The company, which remits all its profits to the government, reported that its own production totaled 1.33 million metric tons through December, an increase of 0.5% compared to 2024.

The state-run firm also reported earnings before interest, taxes, depreciation and amortization (EBITDA) in 2025 of $6.67 billion, a 23% increase compared to a year prior.

Codelco said production increases at its Ministro Hales, Radomiro Tomic and Salvador mines helped offset declines due to geological factors at Chuquicamata and Gabriela Mistral, as well as restrictions due to a deadly accident at its El Teniente mine.

"We managed to keep production going during a very difficult year, a very difficult one. We were hit hard by what happened at El Teniente, but we really pulled together as a team to get through it," CEO Ruben Alvarado told a press conference.

Codelco set its production target range for this year between 1.33 and 1.36 million tons of copper, in line with its previously announced target of 1.34 million tons.

The company's production was severely impacted by a fatal accident at its flagship El Teniente mine in July.

Codelco has since been evaluating its business and development plan, as well as the impact on future production, the company told Reuters. Last month, the company said production at the mine would be hit for the next three years.

Codelco has been struggling to recover its own production level in hopes of reaching its output target of 1.7 million tons by 2030, after hitting record lows in 2022–2023.

Analysts and former executives have expressed concern about the discrepancies in the company’s production figures from late last year to early 2026, questioning whether its targets are realistic.

In January, chairman Maximo Pacheco said the company expected to produce 1.344 million metric tons of copper in 2026, about 10,000 tons above its 2025 figure.

Chile's newly inaugurated right-wing President Jose Antonio Kast promised during his campaign to audit and modernize the company's management. In May, Kast is set to appoint a new chairman of the company's board.