Teck Resources Ltd Class B press release

Teck Reports Unaudited Second Quarter Results for 2026

2026-07-23

NYSE - New York Stock Exchange · Copper · Molybdenum · Zinc · Lead · Canada · Corporate Finance

Strong second quarter earnings driven by operational consistency and disciplined execution

VANCOUVER, British Columbia, July 23, 2026 (GLOBE NEWSWIRE) -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (Teck) today announced its unaudited second quarter results for 2026.

“We delivered another quarter of strong operational and financial performance, generating significant earnings and robust cash flow, supported by continued strong copper sales volumes, a favourable commodity price environment and disciplined execution across our operations,” said Jonathan Price, President and CEO. “At QB, we achieved our third consecutive quarter of stable operating performance, demonstrating the progress we have made in strengthening reliability and consistency at one of the world’s most important new copper operations. These results reinforce the strength of our business and position us well to advance the planned merger with Anglo American to create a global critical minerals champion with the financial strength, operational capability and portfolio quality to deliver significant value for shareholders.”

Highlights

Adjusted EBITDA1of $2.2 billion in Q2 2026 was $1.5 billion or 204% higher than the same period last year, driven by significantly higher copper production and commodity prices, as well as increased revenue from by-products. Our profit before taxes was $1.5 billion in Q2 2026. Adjusted profit attributable to shareholders1in Q2 2026 was $948 million, or $1.93 per share, compared to $187 million, or $0.38 per share, in the same period last year. Profit attributable to shareholders was $854 million or $1.74 per share. Cash flow from operations of $1.7 billion increased our net cash1position by $756 million in Q2 2026. Our liquidity as at June 30, 2026 is $10.3 billion, including $6.1 billion of cash. Our copper segment generated gross profit before depreciation and amortization1of $1.8 billion in Q2 2026 compared to $673 million in the same period last year, primarily driven by record copper prices, which averaged US$6.05 per pound in Q2 2026, and significantly higher copper production. Strong cost performance and increased revenue from by-products reduced copper net cash unit costs1to US$1.64 per pound in Q2 2026 compared to US$2.02 per pound in the same period last year. Gross profit from our copper segment was $1.3 billion in Q2 2026. Copper production volumes of 135,900 tonnes were 25% higher than the same period last year with production increases across all of our copper operations. QB delivered strong production in Q2 2026 for the third consecutive quarter, reflecting ongoing operational stability. Our zinc segment generated gross profit before depreciation and amortization1of $353 million in Q2 2026, compared to $159 million in the same period last year driven by higher commodity prices and continued focus on cash flow generation through our optimized feed strategy at our Trail Operations. Gross profit from our zinc segment was $329 million in Q2 2026 of which $202 million related to our Trail Operations. On July 7, 2026, Teck, Canada Growth Fund Inc. and Natural Resources Canada's "Canada Critical Minerals Accelerator" announced the signing of a Strategic Investment Agreement to support the possible expansion of production capacity for germanium, gallium, and antimony at Trail Operations.

Note: 1. This is a non-GAAP financial measure or ratio. See “_Use ofNon-GAAP Financial Measures and Ratios_” for further information.

Financial Summary Q2 2026

| Financial Metrics (CAD$ in millions, except per share data) | Q2 2026 | Q2 2025 | | | | Revenue | $ | 3,605 | $ | 2,023 | | Gross profit | $ | 1,670 | $ | 471 | | Gross profit before depreciation and amortization1 | $ | 2,108 | $ | 832 | | Profit before taxes | $ | 1,459 | $ | 125 | | Adjusted EBITDA1 | $ | 2,193 | $ | 722 | | Profit attributable to shareholders | $ | 854 | $ | 206 | | Adjusted profit attributable to shareholders1 | $ | 948 | $ | 187 | | Basic earnings per share | $ | 1.74 | $ | 0.42 | | Diluted earnings per share | $ | 1.74 | $ | 0.41 | | Adjusted basic earnings per share1 | $ | 1.93 | $ | 0.38 | | Adjusted diluted earnings per share1 | $ | 1.93 | $ | 0.38 |

Key Updates

Teck and Anglo American plc Merger of Equals

On September 9, 2025, Teck and Anglo American plc (Anglo American) announced a merger of equals (the Merger) to form Anglo Teck, a global critical minerals champion headquartered in Canada. Both Anglo American and Teck believe the Merger will be highly attractive for their respective shareholders and stakeholders, enhancing portfolio quality, financial and operational resilience and strategic positioning. The Merger is expected to close within the originally stated 12-18 months from the date of the announcement.

The Merger is expected to deliver annual pre-tax synergies of approximately US$800 million, with approximately 80% expected to be realized on a run-rate basis by the end of the second year following completion. Anglo Teck will also work with key stakeholders and partners to optimize the value of the adjacent Collahuasi and Quebrada Blanca assets to realize an expected US$1.4 billion (100% basis) of annual average underlying EBITDA2uplift from 2030-2049. The combination between QB and Collahuasi offers shareholders of both operations the fastest route to material copper growth, at the lowest risk and capital intensity, and delivers the highest returns relative to the standalone alternatives, while not precluding further future expansion at Collahuasi or QB. Together, these future opportunities offer the potential for multi-decade copper growth, in the interests of all stakeholders, in Chile and around the world.

On December 9, 2025, shareholders of both Teck and Anglo American approved the Merger as required under the arrangement agreement. On December 15, 2025, Teck and Anglo American received regulatory approval from the Government of Canada under the _Investment Canada Act_(ICA) for the Merger.

The Merger remains subject to customary closing conditions for a transaction of this nature, including regulatory approvals. The parties continue to work collaboratively toward securing the required approvals, progressing integration planning, and advancing the transaction to completion.

Notes:

1. This is a non-GAAP financial measure or ratio. See “Use of Non-GAAP Financial Measures and Ratios” for further information. 2. This is a non-GAAP financial measure. See the Management Proxy Circular for the special meeting of shareholders of Teck Resources Limited held on December 9, 2025, filed under Teck's profile on SEDAR+ (www.sedarplus.ca) for further information.

QB Action Plan Update and Q2 Performance

QB had another consecutive quarter of strong performance in Q2 2026, reflecting the continued focus on operational stability and advancement of the tailings management facility (TMF) development work.

QB copper production in Q2 2026 was 55,800 tonnes, compared to 52,700 tonnes in the same period last year and 55,500 tonnes in the first quarter of 2026. QB continued to deliver stable operating performance, supported by strong asset utilization, consistent plant performance and continued progress on key operational improvement initiatives.

Throughput performance improved in the quarter following optimization initiatives completed during the May planned maintenance shutdown. Recoveries were 83.3% in the quarter, a slight improvement from Q1 2026 with work continuing on recovery performance improvements through the rest of the year.

Q2 2026 molybdenum production at QB was 840 tonnes, reflecting another quarter of strong operational performance and process stability, with molybdenum production increasing from 430 tonnes in the same period last year and 640 tonnes in Q1 2026.

Quarterly copper sales at QB of 57,600 tonnes were 11,800 tonnes higher than the same period last year, reflecting higher production and strong logistics performance during the quarter.

QB net cash unit costs¹ of US$1.83 per pound in the second quarter decreased significantly compared to US$2.45 per pound in the same period last year, primarily driven by higher sales volumes and by-product credits.

Development of the TMF continued during the quarter, including completion of Rock Bench 5, with no TMF-related downtime at the concentrator. Completion of the cyclone station upgrades and increased paddock availability improved sand deposition rates and supported continued progress toward planned TMF performance. As sand deposition rates have increased, work has continued to optimize the supporting ancillary infrastructure required to accommodate those higher rates. Construction of the secondary cyclone station, expected to be completed in Q4 2026, should further improve sand deposition performance.

Consistent with our QB Action Plan, we are progressing our evaluation of the timing and sequencing of the installation of the permanent TMF pipeline infrastructure, which will mechanically raise the tailings pipeline, supporting more efficient and optimized TMF performance to achieve steady-state operations. As part of this assessment, we are evaluating opportunities to accelerate certain TMF activities, including the potential advancement of material placement currently planned for 2027 through construction of Rock Bench 6 in 2026. Advancing this work would enable installation of the permanent pipeline infrastructure in Q4 2026, earlier than previously planned, providing additional operational flexibility during completion of the sand dam, reducing execution risk and supporting continued improvements in operating performance from a stable operating base. If progressed, Rock Bench 6 would require approximately US$100 million of additional capital expenditures in 2026.

Safety and Sustainability Leadership

Our annual High-Potential Incident (HPI) frequency rate increased to 0.08 in Q2 2026. While above the 2025 year-end rate of 0.06, frequency remains low and broadly consistent with 2025.

Note:

1. This is a non-GAAP financial measure or ratio. See “Use of Non-GAAP Financial Measures and Ratios” for further information.

Guidance

There are no changes to our previously disclosed guidance, which is outlined in summary below and our usual guidance tables, including 2027–2028 production guidance, can be found on pages 26–29 of Teck’s second quarter results for 2026 at the link below.

The Red Dog shipping season commenced on July 12, 2026. We expect sales of zinc in concentrate at Red Dog to be in the range of 220,000 to 270,000 tonnes in the third quarter of 2026, reflecting the normal seasonality of Red Dog sales.

| 2026 Guidance – Summary | Current | | Production Guidance | | | Copper (000’s tonnes) | 455 – 530 | | Zinc (000’s tonnes) | 410 – 460 | | Refined zinc (000’s tonnes) | 190 – 230 | | Sales Guidance – Q3 2026 | | | Red Dog zinc in concentrate sales (000’s tonnes) | 220 – 270 | | Unit Cost Guidance | | | Copper net cash unit costs (US$/lb.)1 | 1.85 – 2.20 | | Zinc net cash unit costs (US$/lb.)1 | 0.65 – 0.75 |

Note: 1. This is a non-GAAP financial measure or ratio. See “Use of Non-GAAP Financial Measures and Ratios” for further information.

All dollar amounts expressed in this news release are in Canadian dollars unless otherwise noted.

Click hereto view Teck’s full second quarter results for 2026.

WEBCAST

Teck will host an Investor Conference Call to discuss its Q2/2026 financial results at 11:00 AM Eastern time, 8:00 AM Pacific time, on July 23, 2026. A live audio webcastof the conference call, together with supporting presentation slides, will be available at our website at www.teck.com. The webcast will be archived at www.teck.com.

REFERENCE

Edwin Shadeo, Acting Vice President, Investor Relations and Treasurer: +1 604.699.4531 Dale Steeves, Director, External Communications: +1 236.987.7405

USE OF NON-GAAP FINANCIAL MEASURES AND RATIOS

Our annual financial statements are prepared in accordance with IFRS®Accounting Standards as issued by the International Accounting Standards Board (IASB). Our interim financial results are prepared in accordance with IAS 34, _Interim Financial Reporting_(IAS 34). This document refers to a number of non-GAAP financial measures and non-GAAP ratios, which are not measures recognized under IFRS Accounting Standards and do not have a standardized meaning prescribed by IFRS Accounting Standards or by Generally Accepted Accounting Principles (GAAP) in the United States.

The non-GAAP financial measures and non-GAAP ratios described below do not have standardized meanings under IFRS Accounting Standards, may differ from those used by other issuers, and may not be comparable to similar financial measures and ratios reported by other issuers. These financial measures and ratios have been derived from our financial statements and applied on a consistent basis as appropriate. We disclose these financial measures and ratios because we believe they assist readers in understanding the results of our operations and financial position and provide further information about our financial results to investors. These measures should not be considered in isolation or used as a substitute for other measures of performance prepared in accordance with IFRS Accounting Standards.

Adjusted profit attributable to shareholders– For adjusted profit attributable to shareholders, we adjust profit attributable to shareholders as reported to remove the after-tax effect of certain types of transactions that reflect measurement changes on our balance sheet or are not indicative of our normal operating activities.

EBITDA– EBITDA is profit before net finance expense, provision for income taxes, and depreciation and amortization.

Adjusted EBITDA– Adjusted EBITDA is EBITDA before the pre-tax effect of the adjustments that we make to adjusted profit attributable to shareholders as described above.

Adjusted profit attributable to shareholders, EBITDA and Adjusted EBITDA highlight items and allow us and readers to analyze the rest of our results more clearly. We believe that disclosing these measures assists readers in understanding the ongoing cash-generating potential of our business in order to provide liquidity to fund working capital needs, service outstanding debt, fund future capital expenditures and investment opportunities, and pay dividends.

Adjusted basic earnings per share– Adjusted basic earnings per share is adjusted profit attributable to shareholders divided by average number of shares outstanding in the period.

Adjusted diluted earnings per share – Adjusted diluted earnings per share is adjusted profit attributable to shareholders divided by average number of fully diluted shares in a period.

Gross profit before depreciation and amortization– Gross profit before depreciation and amortization is gross profit with depreciation and amortization expense added back. We believe this measure assists us and readers to assess our ability to generate cash flow from our reportable segments or overall operations.

Total cash unit costs– Total cash unit costs for our copper and zinc operations includes adjusted cash costs of sales, as described below, plus the smelter and refining charges added back in determining adjusted revenue. This presentation allows a comparison of total cash unit costs, including smelter charges, to the underlying price of copper or zinc in order to assess the margin for the mine on a per unit basis.

Net cash unit costs– Net cash unit costs of principal product, after deducting co-product and by-product margins, are also a common industry measure. By deducting the co- and by-product margin per unit of the principal product, the margin for the mine on a per unit basis may be presented in a single metric for comparison to other operations.

Adjusted cash cost of sales– Adjusted cash cost of sales for our copper and zinc operations is defined as the cost of the product delivered to the port of shipment, excluding depreciation and amortization charges, any one-time collective agreement charges or inventory write-down provisions and by-product cost of sales. It is common practice in the industry to exclude depreciation and amortization, as these costs are non-cash, and discounted cash flow valuation models used in the industry substitute expectations of future capital spending for these amounts.

Total debt– Total debt is the sum of debt plus lease liabilities, including the current portions of debt and lease liabilities.

Net debt (cash)– Net debt (cash) is total debt, less cash and cash equivalents. Net cash is the amount by which our cash balance exceeds our total debt balance.

Profit Attributable to Shareholders and Adjusted Profit Attributable to Shareholders

| | | | | | | | | | | | | | | | | Three months ended June 30, | Six months ended June 30, | | | | | | | | | | | (CAD$ in millions) | | 2026 | | | 2025 | | | 2026 | | | 2025 | | | | | | | | | | | | | | | | | Profit attributable to shareholders | $ | 854 | | $ | 206 | | $ | 1,673 | | $ | 576 | | | Add (deduct) on an after-tax basis: | | | | | | | | | | | | | | QB variable consideration to Codelco | | 26 | | | — | | | 58 | | | (50 | ) | | Environmental costs | | 21 | | | (8 | ) | | 22 | | | (2 | ) | | Share-based compensation | | 29 | | | 10 | | | 47 | | | 20 | | | Commodity derivatives | | 44 | | | (3 | ) | | 35 | | | (23 | ) | | Tax items | | — | | | (54 | ) | | — | | | (82 | ) | | Other | | (26 | ) | | 36 | | | (29 | ) | | 51 | | | | | | | | | | | | | | | | | Adjusted profit attributable to shareholders | $ | 948 | | $ | 187 | | $ | 1,806 | | $ | 490 | | | | | | | | | | | | | | | | | Basic earnings per share | $ | 1.74 | | $ | 0.42 | | $ | 3.42 | | $ | 1.15 | | | Diluted earnings per share | $ | 1.74 | | $ | 0.41 | | $ | 3.41 | | $ | 1.15 | | | Adjusted basic earnings per share | $ | 1.93 | | $ | 0.38 | | $ | 3.69 | | $ | 0.98 | | | Adjusted diluted earnings per share | $ | 1.93 | | $ | 0.38 | | $ | 3.68 | | $ | 0.98 | | | | | | | | | | | | | | | |

Reconciliation of Basic Earnings per share to Adjusted Basic Earnings per share

| | Three months ended June 30, | Six months ended June 30, | | | | | | | | | | | | (Per share amounts) | | 2026 | | | 2025 | | | 2026 | | | 2025 | | | | | | | | | | | | | | | | | Basic earnings per share | $ | 1.74 | | $ | 0.42 | | $ | 3.42 | | $ | 1.15 | | | Add (deduct): | | | | | | | | | | | | | | QB variable consideration to Codelco | | 0.05 | | | — | | | 0.12 | | | (0.10 | ) | | Environmental costs | | 0.04 | | | (0.02 | ) | | 0.04 | | | — | | | Share-based compensation | | 0.06 | | | 0.02 | | | 0.10 | | | 0.04 | | | Commodity derivatives | | 0.09 | | | (0.01 | ) | | 0.07 | | | (0.05 | ) | | Tax items | | — | | | (0.11 | ) | | — | | | (0.16 | ) | | Other | | (0.05 | ) | | 0.08 | | | (0.06 | ) | | 0.10 | | | | | | | | | | | | | | | | | Adjusted basic earnings per share | $ | 1.93 | | $ | 0.38 | | $ | 3.69 | | $ | 0.98 | | | | | | | | | | | | | | | |

Reconciliation of Diluted Earnings per share to Adjusted Diluted Earnings per share

| | Three months ended June 30, | Six months ended June 30, | | | | | | | | | | | | (Per share amounts) | | 2026 | | | 2025 | | | 2026 | | | 2025 | | | | | | | | | | | | | | | | | Diluted earnings per share | $ | 1.74 | | $ | 0.41 | | $ | 3.41 | | $ | 1.15 | | | Add (deduct): | | | | | | | | | | | | | | QB variable consideration to Codelco | | 0.05 | | | — | | | 0.12 | | | (0.10 | ) | | Environmental costs | | 0.04 | | | (0.02 | ) | | 0.04 | | | — | | | Share-based compensation | | 0.06 | | | 0.02 | | | 0.10 | | | 0.04 | | | Commodity derivatives | | 0.09 | | | (0.01 | ) | | 0.07 | | | (0.05 | ) | | Tax items | | — | | | (0.11 | ) | | — | | | (0.16 | ) | | Other | | (0.05 | ) | | 0.09 | | | (0.06 | ) | | 0.10 | | | | | | | | | | | | | | | | | Adjusted diluted earnings per share | $ | 1.93 | | $ | 0.38 | | $ | 3.68 | | $ | 0.98 | | | | | | | | | | | | | | | |

Reconciliation of Total Debt to Net Debt (Cash)

| (CAD$ in millions) | June 30, 2026 | | December 31, 2025 | | | | | | | | | | | | | Current portion of debt | $ | 418 | | $ | 403 | | | Current portion of lease liabilities | | 196 | | | 169 | | | Debt | | 3,425 | | | 3,501 | | | Lease liabilities | | 769 | | | 789 | | | | | | | | | | | Total debt | | 4,808 | | | 4,862 | | | | | | | | | | | Less: cash and cash equivalents | | (6,052 | ) | | (5,012 | ) | | | | | | | | | | Net debt (cash) | $ | (1,244 | ) | $ | (150 | ) | | | | | | | | |