South America-focused mining and infrastructure contractor Stracon Group said its March-quarter revenue of US$167.2 million was in line with Q1 in 2025 while its gross profit surged 61% year-on-year and net cash generated from operations rose to $9 million.
Stracon’s dominant contract mining arm delivered $121.4 million of Q1 revenue, 9.6% higher than a year ago, “supported by strong underground operations in Canada and the continued advancement of key projects in Peru, including the Pampa Cachendo project and Quellaveco”.
Peru (48%) and Chile accounted for 78% of group revenue, with Mexico and Canada producing most of the balance.
Stracon said industrial services, including contract mining, returned $19.3 million of Q1 EBITDA ($10.8m) and a better 15.9% EBITDA margin (10.1%) reflecting contract mix and productivity gains.
The business area’s $1.07 billion backlog was well down on $1.73 billion at the same time in 2025, with Stracon saying it reflected “normal contract burn-down on long-duration projects”.
CEO Steve Dixon said the major new $376 million Perez Caldera EPC contract with Anglo American in Chile represented about one-third of Stracon’s consolidated EPC and build-own-operate-maintain (BOOM) contract backlog and was “the strategic axis around which the company is being built”.
“The first quarter of 2026 marks a clear inflection point for the platform,” he said.
Stracon wants to grow group revenues beyond $1 billion, backlog above $3 billion and EBITDA above $150 million over the next three years with its infrastructure segment expected to contribute circa-50% of EBITDA within two years.
“The company’s identified pipeline of opportunities exceeds $17 billion, including $6.3 billion in infrastructure, supported by structural tailwinds in mining, including growing demand for copper and critical minerals, tightening water and tailings management standards and a broad shift by mining operators toward integrated BOOM and design-build-finance-operate infrastructure ownership models,” company management said.
