Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.

Solvency Ratios (Summary)
Debt to Equity
Debt to Equity (including Operating Lease Liability)
Debt to Capital
Debt to Capital (including Operating Lease Liability)
Debt to Assets
Debt to Assets (including Operating Lease Liability)
Financial Leverage
Interest Coverage

Freeport-McMoRan Inc., solvency ratios (quarterly data)

	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Debt Ratios
Debt to equity	0.47	0.48	0.50	0.50	0.51	0.53	0.51	0.55	0.54	0.56	0.56	0.57	0.59	0.60	0.68	0.71	0.74	0.65
Debt to equity (including operating lease liability)	0.52	0.53	0.55	0.50	0.51	0.53	0.51	0.55	0.54	0.56	0.56	0.57	0.59	0.60	0.68	0.71	0.74	0.65
Debt to capital	0.32	0.33	0.33	0.33	0.34	0.35	0.34	0.36	0.35	0.36	0.36	0.36	0.37	0.38	0.41	0.42	0.43	0.39
Debt to capital (including operating lease liability)	0.34	0.35	0.35	0.33	0.34	0.35	0.34	0.36	0.35	0.36	0.36	0.36	0.37	0.38	0.41	0.42	0.43	0.39
Debt to assets	0.16	0.16	0.16	0.16	0.16	0.17	0.16	0.17	0.17	0.17	0.18	0.18	0.19	0.19	0.21	0.21	0.22	0.20
Debt to assets (including operating lease liability)	0.17	0.18	0.18	0.16	0.16	0.17	0.16	0.17	0.17	0.17	0.18	0.18	0.19	0.19	0.21	0.21	0.22	0.20
Financial leverage	2.97	3.02	3.08	3.04	3.10	3.17	3.12	3.16	3.14	3.19	3.15	3.14	3.14	3.17	3.28	3.34	3.37	3.28
Coverage Ratios
Interest coverage	16.63	18.24	18.27	21.81	24.48	22.80	22.70	22.42	19.68	14.57	12.69	11.49	9.73	10.53	13.05	13.11	15.65	16.40

A comprehensive review of the solvency ratios indicates a consistent trend toward deleveraging and a strengthening of the long-term financial position from early 2022 through mid-2026. The overall risk profile has shifted downward as the reliance on debt relative to equity, capital, and assets has decreased steadily over the observed period.

Debt-to-Equity and Debt-to-Capital Trends: The debt-to-equity ratio experienced an initial increase to a peak of 0.74 in June 2022, followed by a sustained decline to 0.47 by June 2026. A similar trajectory is observed in the debt-to-capital ratio, which peaked at 0.43 in June 2022 and gradually compressed to 0.32 by the end of the period. The inclusion of operating lease liabilities results in only marginal variances, suggesting that lease obligations do not significantly alter the fundamental solvency trajectory.
Asset-Based Solvency and Leverage: The debt-to-assets ratio exhibits a stable downward trend, moving from 0.20 in March 2022 to 0.16 by June 2026. This indicates that a smaller proportion of the total asset base is financed through debt over time. This is further supported by the financial leverage ratio, which declined from a high of 3.37 in June 2022 to 2.97 by June 2026, reflecting a reduction in the company's use of debt to finance its assets.
Interest Coverage and Debt Service Capacity: The interest coverage ratio demonstrates higher volatility compared to the balance sheet ratios, though it remains robust throughout the period. A decline was noted from 16.40 in March 2022 to a low of 9.73 in June 2023. Subsequently, a strong recovery occurred, with the ratio peaking at 24.48 in June 2025 before moderating to 16.63 by June 2026. Despite these fluctuations, the ratio remains comfortably above levels that would suggest a risk of default, indicating a strong capacity to meet interest obligations from operating earnings.

In summary, the financial structure has transitioned toward a more conservative posture. The simultaneous reduction in leverage ratios and the maintenance of a high interest coverage ratio suggest an improved credit profile and enhanced long-term financial stability.

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Debt Ratios

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Coverage Ratios

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Freeport-McMoRan Inc., debt to equity calculation (quarterly data)

	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in millions)
Current portion of debt	1,220)	500)	466)	383)	338)	495)	41)	769)	768)	769)	766)	35)	37)	49)	1,037)	1,032)	1,038)	1,365)
Long-term debt, less current portion	8,166)	8,914)	8,913)	8,915)	8,913)	8,909)	8,907)	8,910)	8,658)	8,656)	8,656)	9,370)	9,458)	9,586)	9,583)	9,658)	10,054)	8,256)
Total debt	9,386)	9,414)	9,379)	9,298)	9,251)	9,404)	8,948)	9,679)	9,426)	9,425)	9,422)	9,405)	9,495)	9,635)	10,620)	10,690)	11,092)	9,621)

Stockholders’ equity	20,109)	19,505)	18,899)	18,685)	18,208)	17,688)	17,581)	17,548)	17,404)	16,973)	16,693)	16,459)	16,202)	16,057)	15,555)	14,954)	14,889)	14,866)
Solvency Ratio
Debt to equity¹	0.47	0.48	0.50	0.50	0.51	0.53	0.51	0.55	0.54	0.56	0.56	0.57	0.59	0.60	0.68	0.71	0.74	0.65

¹ Q2 2026 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 9,386 ÷ 20,109 = 0.47

A comprehensive analysis of the solvency metrics reveals a sustained improvement in the financial leverage position from the first quarter of 2022 through the second quarter of 2026. The overall trajectory indicates a shift toward a more conservative capital structure characterized by a diminishing reliance on borrowed funds relative to shareholder equity.

Total Debt Trends: Total debt exhibited initial volatility, peaking at 11,092 million USD in June 2022 before entering a period of general stabilization. While minor fluctuations occurred—including a low of 8,948 million USD in December 2024—the debt levels remained largely contained between 8,900 million USD and 9,700 million USD for the majority of the analyzed period, suggesting a controlled approach to liabilities.
Stockholders' Equity Growth: A consistent and linear increase in stockholders' equity is observed, rising from 14,866 million USD in March 2022 to 20,109 million USD by June 2026. This steady growth in the equity base reflects a continuous strengthening of the company's net worth and provides an increasing buffer for creditors.
Debt to Equity Ratio Interpretation: The debt to equity ratio reached a peak of 0.74 in June 2022 and subsequently entered a long-term downward trend. The ratio declined steadily to 0.47 by June 2026. This reduction is the result of the combined effect of stable total debt and expanding stockholders' equity, signaling a significant improvement in long-term solvency and a reduced financial risk profile.

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Freeport-McMoRan Inc., debt to equity (including operating lease liability) calculation (quarterly data)

	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in millions)
Current portion of debt	1,220)	500)	466)	383)	338)	495)	41)	769)	768)	769)	766)	35)	37)	49)	1,037)	1,032)	1,038)	1,365)
Long-term debt, less current portion	8,166)	8,914)	8,913)	8,915)	8,913)	8,909)	8,907)	8,910)	8,658)	8,656)	8,656)	9,370)	9,458)	9,586)	9,583)	9,658)	10,054)	8,256)
Total debt	9,386)	9,414)	9,379)	9,298)	9,251)	9,404)	8,948)	9,679)	9,426)	9,425)	9,422)	9,405)	9,495)	9,635)	10,620)	10,690)	11,092)	9,621)
Long-term operating leases, less current portion	973)	987)	1,010)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)
Total debt (including operating lease liability)	10,359)	10,401)	10,389)	9,298)	9,251)	9,404)	8,948)	9,679)	9,426)	9,425)	9,422)	9,405)	9,495)	9,635)	10,620)	10,690)	11,092)	9,621)

Stockholders’ equity	20,109)	19,505)	18,899)	18,685)	18,208)	17,688)	17,581)	17,548)	17,404)	16,973)	16,693)	16,459)	16,202)	16,057)	15,555)	14,954)	14,889)	14,866)
Solvency Ratio
Debt to equity (including operating lease liability)¹	0.52	0.53	0.55	0.50	0.51	0.53	0.51	0.55	0.54	0.56	0.56	0.57	0.59	0.60	0.68	0.71	0.74	0.65

¹ Q2 2026 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity
= 10,359 ÷ 20,109 = 0.52

The solvency profile of the organization demonstrates a general improvement over the period from March 2022 to June 2026, characterized by a systematic reduction in financial leverage relative to the growth of equity.

Total Debt Trajectory: Debt levels experienced an initial peak of 11,092 million US$ in June 2022. This was followed by a period of gradual deleveraging and stabilization, with values remaining largely between 9,200 million and 9,700 million US$ throughout 2023 and 2024. A moderate increase in debt is observed in the final quarters of the sequence, with the balance reaching 10,359 million US$ by June 2026.
Stockholders' Equity Growth: A consistent and linear upward trend is evident in stockholders' equity. The value rose from 14,866 million US$ in March 2022 to 20,109 million US$ by June 2026. This continuous growth indicates a strengthening of the capital base, providing a larger cushion for creditors and reducing reliance on external borrowing.
Debt to Equity Ratio Interpretation: The debt to equity ratio peaked at 0.74 in June 2022 and entered a long-term downward trend, reaching a minimum of 0.50 in September 2025 before stabilizing at 0.52 in June 2026. The compression of this ratio is driven by the combined effect of stagnant or declining debt levels in the mid-term and the steady expansion of equity. This progression signifies an improvement in solvency and a reduction in the overall financial risk profile of the entity.

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Freeport-McMoRan Inc., debt to capital calculation (quarterly data)

	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in millions)
Current portion of debt	1,220)	500)	466)	383)	338)	495)	41)	769)	768)	769)	766)	35)	37)	49)	1,037)	1,032)	1,038)	1,365)
Long-term debt, less current portion	8,166)	8,914)	8,913)	8,915)	8,913)	8,909)	8,907)	8,910)	8,658)	8,656)	8,656)	9,370)	9,458)	9,586)	9,583)	9,658)	10,054)	8,256)
Total debt	9,386)	9,414)	9,379)	9,298)	9,251)	9,404)	8,948)	9,679)	9,426)	9,425)	9,422)	9,405)	9,495)	9,635)	10,620)	10,690)	11,092)	9,621)
Stockholders’ equity	20,109)	19,505)	18,899)	18,685)	18,208)	17,688)	17,581)	17,548)	17,404)	16,973)	16,693)	16,459)	16,202)	16,057)	15,555)	14,954)	14,889)	14,866)
Total capital	29,495)	28,919)	28,278)	27,983)	27,459)	27,092)	26,529)	27,227)	26,830)	26,398)	26,115)	25,864)	25,697)	25,692)	26,175)	25,644)	25,981)	24,487)
Solvency Ratio
Debt to capital¹	0.32	0.33	0.33	0.33	0.34	0.35	0.34	0.36	0.35	0.36	0.36	0.36	0.37	0.38	0.41	0.42	0.43	0.39

¹ Q2 2026 Calculation
Debt to capital = Total debt ÷ Total capital
= 9,386 ÷ 29,495 = 0.32

The financial trajectory from March 2022 through June 2026 indicates a consistent improvement in the solvency position. A gradual deleveraging process is observed, characterized by a steady decrease in the reliance on debt relative to total capital.

Total Debt Trends: Total debt experienced an initial increase, peaking at US$ 11,092 million in June 2022. Following this peak, a general downward trend was established, with debt levels largely stabilizing between US$ 9,200 million and US$ 9,600 million. By June 2026, total debt stood at US$ 9,386 million, reflecting a reduction from the mid-2022 high.
Total Capital Growth: Total capital demonstrates a sustained upward trajectory, increasing from US$ 24,487 million in March 2022 to US$ 29,495 million by June 2026. This expansion of the capital base suggests a growth in equity or other non-debt financing components, which serves to dilute the impact of the outstanding debt.
Debt to Capital Ratio Analysis: The debt to capital ratio mirrors the combined effect of decreasing total debt and increasing total capital. After reaching a maximum of 0.43 in June 2022, the ratio declined progressively to 0.32 by June 2026. This persistent downward movement signifies a strengthening of the balance sheet and a reduced financial risk profile over the analyzed period.

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Freeport-McMoRan Inc., debt to capital (including operating lease liability) calculation (quarterly data)

	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in millions)
Current portion of debt	1,220)	500)	466)	383)	338)	495)	41)	769)	768)	769)	766)	35)	37)	49)	1,037)	1,032)	1,038)	1,365)
Long-term debt, less current portion	8,166)	8,914)	8,913)	8,915)	8,913)	8,909)	8,907)	8,910)	8,658)	8,656)	8,656)	9,370)	9,458)	9,586)	9,583)	9,658)	10,054)	8,256)
Total debt	9,386)	9,414)	9,379)	9,298)	9,251)	9,404)	8,948)	9,679)	9,426)	9,425)	9,422)	9,405)	9,495)	9,635)	10,620)	10,690)	11,092)	9,621)
Long-term operating leases, less current portion	973)	987)	1,010)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)
Total debt (including operating lease liability)	10,359)	10,401)	10,389)	9,298)	9,251)	9,404)	8,948)	9,679)	9,426)	9,425)	9,422)	9,405)	9,495)	9,635)	10,620)	10,690)	11,092)	9,621)
Stockholders’ equity	20,109)	19,505)	18,899)	18,685)	18,208)	17,688)	17,581)	17,548)	17,404)	16,973)	16,693)	16,459)	16,202)	16,057)	15,555)	14,954)	14,889)	14,866)
Total capital (including operating lease liability)	30,468)	29,906)	29,288)	27,983)	27,459)	27,092)	26,529)	27,227)	26,830)	26,398)	26,115)	25,864)	25,697)	25,692)	26,175)	25,644)	25,981)	24,487)
Solvency Ratio
Debt to capital (including operating lease liability)¹	0.34	0.35	0.35	0.33	0.34	0.35	0.34	0.36	0.35	0.36	0.36	0.36	0.37	0.38	0.41	0.42	0.43	0.39

¹ Q2 2026 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 10,359 ÷ 30,468 = 0.34

The solvency profile demonstrates a general trend toward deleveraging relative to total capital between March 2022 and June 2026. While absolute debt levels have experienced fluctuations, the overall financial structure has evolved to be more capital-intensive, reducing the proportional reliance on borrowed funds.

Total Debt Trends: Total debt, including operating lease liabilities, peaked early in the observed period at US$ 11,092 million in June 2022. This was followed by a period of gradual decline and stabilization, reaching a minimum of US$ 8,948 million by December 2024. A subsequent increase is observed starting in late 2025, with debt levels rising to US$ 10,359 million by June 2026.
Capital Base Expansion: A consistent upward trajectory is observed in total capital, which grew from US$ 24,487 million in March 2022 to US$ 30,468 million by June 2026. This steady growth in the total capital base indicates a strengthening of the organization's overall financial capacity over the period.
Debt to Capital Ratio Analysis: The debt to capital ratio reflects a transition from a peak of 0.43 in June 2022 to a more conservative range. The ratio trended downward through 2023 and 2024, reaching a low of 0.33 in June 2025. Although absolute debt increased in 2026, the ratio remained stable at 0.34 as of June 2026, as the growth in total capital effectively offset the increase in debt obligations.

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Freeport-McMoRan Inc., debt to assets calculation (quarterly data)

	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in millions)
Current portion of debt	1,220)	500)	466)	383)	338)	495)	41)	769)	768)	769)	766)	35)	37)	49)	1,037)	1,032)	1,038)	1,365)
Long-term debt, less current portion	8,166)	8,914)	8,913)	8,915)	8,913)	8,909)	8,907)	8,910)	8,658)	8,656)	8,656)	9,370)	9,458)	9,586)	9,583)	9,658)	10,054)	8,256)
Total debt	9,386)	9,414)	9,379)	9,298)	9,251)	9,404)	8,948)	9,679)	9,426)	9,425)	9,422)	9,405)	9,495)	9,635)	10,620)	10,690)	11,092)	9,621)

Total assets	59,727)	58,840)	58,167)	56,828)	56,492)	56,022)	54,848)	55,400)	54,635)	54,198)	52,506)	51,648)	50,907)	50,909)	51,093)	49,927)	50,113)	48,832)
Solvency Ratio
Debt to assets¹	0.16	0.16	0.16	0.16	0.16	0.17	0.16	0.17	0.17	0.17	0.18	0.18	0.19	0.19	0.21	0.21	0.22	0.20

¹ Q2 2026 Calculation
Debt to assets = Total debt ÷ Total assets
= 9,386 ÷ 59,727 = 0.16

The solvency profile demonstrates a consistent improvement over the analyzed period, characterized by a reduction in leverage relative to the growth of the asset base. A primary downward trend is observed in the debt-to-assets ratio, which indicates a strengthening financial position and a reduced reliance on borrowed capital to fund operations and acquisitions.

Total Debt Trends: Total debt experienced an initial increase, peaking at 11,092 million US$ in June 2022. Following this peak, a general trend of debt reduction and stabilization occurred, with values consistently remaining below 9,700 million US$ from March 2023 onward. By June 2026, total debt reached 9,386 million US$, reflecting a decrease from the peak levels seen in 2022.
Total Asset Growth: Total assets exhibited a sustained upward trajectory throughout the period. Starting at 48,832 million US$ in March 2022, the asset base expanded steadily to 59,727 million US$ by June 2026. This consistent growth indicates a continuous expansion of the balance sheet over the analyzed timeframe.
Debt to Assets Ratio Analysis: The debt-to-assets ratio reflects the combined impact of declining total debt and increasing total assets. The ratio peaked at 0.22 in June 2022 and subsequently declined in a stepwise fashion. A period of stabilization is observed starting in December 2024, where the ratio remained constant at 0.16 through June 2026. This contraction in the ratio indicates a shift toward a more conservative capital structure and an enhanced solvency margin.

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Freeport-McMoRan Inc., debt to assets (including operating lease liability) calculation (quarterly data)

	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in millions)
Current portion of debt	1,220)	500)	466)	383)	338)	495)	41)	769)	768)	769)	766)	35)	37)	49)	1,037)	1,032)	1,038)	1,365)
Long-term debt, less current portion	8,166)	8,914)	8,913)	8,915)	8,913)	8,909)	8,907)	8,910)	8,658)	8,656)	8,656)	9,370)	9,458)	9,586)	9,583)	9,658)	10,054)	8,256)
Total debt	9,386)	9,414)	9,379)	9,298)	9,251)	9,404)	8,948)	9,679)	9,426)	9,425)	9,422)	9,405)	9,495)	9,635)	10,620)	10,690)	11,092)	9,621)
Long-term operating leases, less current portion	973)	987)	1,010)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)	—)
Total debt (including operating lease liability)	10,359)	10,401)	10,389)	9,298)	9,251)	9,404)	8,948)	9,679)	9,426)	9,425)	9,422)	9,405)	9,495)	9,635)	10,620)	10,690)	11,092)	9,621)

Total assets	59,727)	58,840)	58,167)	56,828)	56,492)	56,022)	54,848)	55,400)	54,635)	54,198)	52,506)	51,648)	50,907)	50,909)	51,093)	49,927)	50,113)	48,832)
Solvency Ratio
Debt to assets (including operating lease liability)¹	0.17	0.18	0.18	0.16	0.16	0.17	0.16	0.17	0.17	0.17	0.18	0.18	0.19	0.19	0.21	0.21	0.22	0.20

¹ Q2 2026 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 10,359 ÷ 59,727 = 0.17

The solvency profile demonstrates a general improvement in the leverage position over the analyzed period, characterized by a decrease in the debt-to-assets ratio and a steady expansion of the total asset base.

Debt to Assets Ratio Trends: The ratio peaked at 0.22 in June 2022 before entering a gradual decline. A period of optimization is observed between December 2023 and September 2025, during which the ratio reached its lowest points of 0.16. While a slight increase to 0.18 is noted in December 2025 and March 2026, the ratio remained lower than the 2022 levels, ending at 0.17 in June 2026.
Total Assets Trajectory: A consistent upward trajectory in total assets is evident, increasing from 48,832 million US dollars in March 2022 to 59,727 million US dollars by June 2026. This steady growth in the asset base has acted as a primary counterbalance to debt levels, contributing to the overall reduction in the solvency ratio over the long term.
Total Debt Dynamics: Total debt, inclusive of operating lease liabilities, exhibited moderate volatility. After reaching a maximum of 11,092 million US dollars in June 2022, debt levels generally trended downward, reaching a minimum of 8,948 million US dollars in December 2024. A subsequent increase is observed in the final periods, with debt rising to 10,359 million US dollars by June 2026, though this increase was offset by the continued growth of total assets.

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Freeport-McMoRan Inc., financial leverage calculation (quarterly data)

	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in millions)
Total assets	59,727)	58,840)	58,167)	56,828)	56,492)	56,022)	54,848)	55,400)	54,635)	54,198)	52,506)	51,648)	50,907)	50,909)	51,093)	49,927)	50,113)	48,832)
Stockholders’ equity	20,109)	19,505)	18,899)	18,685)	18,208)	17,688)	17,581)	17,548)	17,404)	16,973)	16,693)	16,459)	16,202)	16,057)	15,555)	14,954)	14,889)	14,866)
Solvency Ratio
Financial leverage¹	2.97	3.02	3.08	3.04	3.10	3.17	3.12	3.16	3.14	3.19	3.15	3.14	3.14	3.17	3.28	3.34	3.37	3.28

¹ Q2 2026 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 59,727 ÷ 20,109 = 2.97

The financial solvency profile indicates a consistent strengthening of the balance sheet over the analyzed period, characterized by a steady expansion of the asset base and a corresponding increase in equity, which has resulted in a gradual reduction of financial leverage.

Total Asset Growth: A sustained upward trajectory in total assets is observed, rising from 48,832 million US$ in March 2022 to 59,727 million US$ by June 2026. This growth represents a steady expansion of the company's resource base, with the most significant acceleration occurring between December 2024 and June 2026.
Stockholders’ Equity Expansion: Equity demonstrates a consistent positive trend, increasing from 14,866 million US$ in March 2022 to 20,109 million US$ in June 2026. The growth in equity has been persistent across nearly every quarter, suggesting a strong accumulation of retained earnings or capital contributions.
Financial Leverage Ratio Trend: The financial leverage ratio exhibits a general downward trend, declining from a peak of 3.37 in June 2022 to a period low of 2.97 by June 2026. While the ratio remained relatively stable between 3.10 and 3.20 throughout much of 2023 and 2024, a more pronounced deleveraging process is evident from December 2024 onward.
Solvency Implications: The convergence of increasing total assets and a declining leverage ratio indicates that equity is growing at a faster rate than total assets. This pattern reflects a strategic shift toward a less aggressive financing structure and a reduced reliance on external debt to fund asset growth, thereby enhancing the overall solvency position and reducing financial risk.

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Freeport-McMoRan Inc., interest coverage calculation (quarterly data)

	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in millions)
Net income attributable to common stockholders	984)	881)	406)	674)	772)	352)	274)	526)	616)	473)	388)	454)	343)	663)	697)	404)	840)	1,527)
Add: Net income attributable to noncontrolling interest	407)	506)	159)	573)	775)	441)	447)	710)	664)	689)	619)	510)	388)	386)	280)	156)	198)	377)
Add: Income tax expense	544)	653)	202)	669)	850)	500)	520)	737)	754)	512)	724)	508)	539)	499)	557)	315)	571)	824)
Add: Interest expense, net	95)	114)	110)	107)	82)	70)	70)	72)	88)	89)	97)	96)	171)	151)	137)	140)	156)	127)
Earnings before interest and tax (EBIT)	2,030)	2,154)	877)	2,023)	2,479)	1,363)	1,311)	2,045)	2,122)	1,763)	1,828)	1,568)	1,441)	1,699)	1,671)	1,015)	1,765)	2,855)
Solvency Ratio
Interest coverage¹	16.63	18.24	18.27	21.81	24.48	22.80	22.70	22.42	19.68	14.57	12.69	11.49	9.73	10.53	13.05	13.11	15.65	16.40

¹ Q2 2026 Calculation
Interest coverage = (EBIT_{Q2 2026} + EBIT_{Q1 2026} + EBIT_{Q4 2025} + EBIT_{Q3 2025}) ÷ (Interest expense_{Q2 2026} + Interest expense_{Q1 2026} + Interest expense_{Q4 2025} + Interest expense_{Q3 2025})
= (2,030 + 2,154 + 877 + 2,023) ÷ (95 + 114 + 110 + 107) = 16.63

The interest coverage ratio exhibits significant volatility over the analyzed period, reflecting fluctuations in operating earnings and a strategic reduction in interest obligations. Despite periodic declines, the ratio remains consistently high, indicating a robust capacity to meet interest payments from operating profits.

Interest Coverage Ratio Trends: The ratio began at 16.40 in March 2022, experiencing a downward trend to a low of 9.73 by June 2023. A strong recovery followed, with the ratio climbing steadily through 2024 and peaking at 24.48 in June 2025. Following this peak, a gradual decline is observed, settling at 16.63 by June 2026. The overall movement suggests a period of strengthened solvency between 2024 and 2025.
Earnings Before Interest and Tax (EBIT) Dynamics: EBIT demonstrates substantial quarterly variance, which serves as the primary driver for the volatility in the coverage ratio. Significant troughs are noted in September 2022 (US$ 1,015 million) and December 2025 (US$ 877 million). Conversely, peaks occurred in March 2022 (US$ 2,855 million) and June 2025 (US$ 2,479 million). These fluctuations indicate a cyclical earnings pattern that impacts the margin of safety for debt servicing.
Net Interest Expense Evolution: A notable downward trend in net interest expenses is observable from mid-2022 through 2024. Expenses decreased from a peak of US$ 171 million in June 2023 to a low of US$ 70 million by December 2023 and March 2024. This reduction in the cost of debt played a critical role in elevating the interest coverage ratio during 2024, as the company required less EBIT to maintain high coverage levels. A slight upward adjustment in interest costs is observed throughout 2025, peaking at US$ 114 million in December 2025.
Solvency Analysis: The convergence of minimized interest expenses and recovered EBIT levels in 2024 and early 2025 resulted in the highest solvency metrics of the period, with the ratio remaining above 20.00 for five consecutive quarters. Although the ratio contracted in late 2025 and early 2026, the levels remain well above typical risk thresholds, suggesting that the company maintains a comfortable cushion against potential earnings downturns.

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Freeport-McMoRan Inc. (NYSE:FCX)

Analysis of Solvency Ratios
Quarterly Data

Solvency Ratios (Summary)

Debt Ratios

Coverage Ratios

Debt to Equity

Debt to Equity (including Operating Lease Liability)

Debt to Capital

Debt to Capital (including Operating Lease Liability)

Debt to Assets

Debt to Assets (including Operating Lease Liability)

Financial Leverage

Interest Coverage

Freeport-McMoRan Inc. (NYSE:FCX)

Analysis of Solvency RatiosQuarterly Data

Solvency Ratios (Summary)

Debt Ratios

Coverage Ratios

Debt to Equity

Debt to Equity (including Operating Lease Liability)

Debt to Capital

Debt to Capital (including Operating Lease Liability)

Debt to Assets

Debt to Assets (including Operating Lease Liability)

Financial Leverage

Interest Coverage

Analysis of Solvency Ratios
Quarterly Data