Vale Q4 net profit tumbles, but beats forecasts
SAO PAULO - Brazil's Vale said on Thursday its fourth-quarter net profit fell 30.4%, under pressure from reduced production and lower iron ore prices, while still beating analysts' forecasts.
Vale, one of the world's largest iron-ore miners, posted net income of $3.724-billion, compared to the $2.5-billion forecast compiled by Refinitiv, or 82c a share, beating the Refinitiv forecast of 63c.
Iron ore production was down 1% in the quarter to 80.85-million tonnes, with an average realized price of iron-ore fines of $95.6/t, compared to $107/t in the fourth quarter in 2021.
Vale's quarterly net was hit by a financial loss of $658-million resulting from foreign exchange fluctuation and other factors, reversing the $3.16-billion gain seen a year earlier.
Net operating revenues fell 8.8% to $11.94-billion while costs and expenses rose by 9.2% to $7.895-billion.
The company's proforma adjusted earnings before interest, taxes, depreciation and amortization (Ebitda) fell by 27% to $5-billion.
On a sequential basis, the company's Ebitda rose $1-billion due to higher iron-ore sales volumes and higher realized nickel and copper prices.
Nickel prices rose 28% from the year before to $24 454/t.
Vale's capital expenditures in the fourth-quarter totaled $1.8-billion, including growth and maintenance investments, roughly stable from a year earlier.
In a statement, Vale's CEO Eduardo Bartolomeo said that on operations, the company took "concrete actions to deliver on our long-term growth guidance."
The company's expanded net debt rose $856-million from the third quarter to $14.1-billion.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Rentech provides renewable energy products and services to the local and selected African markets. Supplying inverters, lithium and lead-acid...
VISIT SHOWROOM
At SMS group, we have made it our mission to create a carbon-neutral and sustainable metals industry.
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
