By Adriano Marchese

Shares of Hudbay Minerals fell sharply Wednesday morning after setting out a lower-than-expected guidance for 2025, due largely to a smaller contribution from its Peruvian operations.

Shares traded nearly 16% lower at 10.72 Canadian dollars ($7.55).

The Canadian miner, with operations in Peru and in Canada, said it expects lower gold production than in 2024, forecasting a range of between 247,500 and 308,000 ounces of gold. This is below its output of 332,240 last year.

For copper, the company has set a range of 117,000 to 149,000 metric tons, compared with 137,943 tons in 2024.

Silver output has a wide forecast range similar to 2024, which is expected to be between 3.52 million and 4.39 million ounces, compared with 3.98 million ounces last year.

Scotiabank analyst Orest Wowkodaw said in a report that the updated 2025 guidance was slightly below expectations due to a weaker outlook in Peru, due to slowly advancing growth plans in the country.

"[The guidance figures for copper and gold] were 7% and 4% below our estimates based on mid-points of 143,000 tons and 290,000 ounces, driven by a weaker-than-anticipated outlook in Peru, particularly lower overall contribution from Pampacancha," Wowkodaw said.

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

February 19, 2025 09:58 ET (14:58 GMT)

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