In the early hours of trading on Thursday, Freeport McMoRan (NYSE:FCX) saw a slight dip of 0.4% after announcing better-than-expected adjusted earnings and revenues for the third quarter. The company also marginally increased its full-year copper sales guidance.

During Q3, net income rose to $454 million, or $0.31 per share, compared to $404 million, or $0.28 per share from the same period last year. Total revenues also witnessed a 16% year-over-year increase to reach $5.82 billion. This growth was primarily driven by an 8.6% jump in average realized copper prices, which reached $3.80 per pound.

However, despite the positive earnings report, Freeport McMoRan experienced a significant increase in average cash costs for copper during the quarter. Costs rose by 18% year-over-year, reaching $1.73 per pound. The company expects cash costs to average $1.63 per pound for the full year of 2023, mainly due to higher export duties.

Freeport McMoRan’s Q3 copper production exceeded the previous year, increasing to 1.09 billion pounds from 1.06 billion pounds. The company also reported gold output totaling 580,000 ounces and molybdenum production of 20 million pounds.

Looking ahead, Freeport McMoRan has adjusted its forecast for consolidated sales volumes for the full year. The company now expects sales of 4.06 billion pounds of copper, 1.74 million ounces of gold, and 80 million pounds of molybdenum. This slight revision follows the previous guidance of 4 billion pounds of copper, 1.75 million ounces of gold, and 79 million pounds of molybdenum.

Despite higher copper costs, Freeport McMoRan’s positive Q3 performance and increased sales guidance demonstrate the company’s resilience and potential for growth in the copper market. Investors keen on the financial markets should keep a close eye on Freeport McMoRan as it navigates the challenges in the industry.