Vale (NYSE:VALE) reported sharply lower Q1 net profit that came in below analyst expectations Wednesday, reflecting lower realized prices of iron ore fines and pellets, lower sales of iron ore fines, and higher costs.
The company said Q1 net income from continuing operations fell 59% to $1.8B from $4.5B in the year-ago quarter, and adjusted EBITDA from continuing operations slumped to $3.6B from $6.2B a year earlier, below Refinitiv estimates of $2.4B and $4.3B respectively.
Q1 net operating revenue slid 22% to $8.4B from $10.8B in the same period last year, also lagging the $9.2B consensus, while costs climbed 5.4% Y/Y to $5.4B.
Vale (VALE) said its average realized price of iron ore fines fell to $125.50/ton from $141.60/ton a year earlier, while the price for iron ore pellets dropped to $162.50/ton from $194.60 in the year-ago quarter.
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