With a record in iron ore production, Vale was able to offset the drop in prices and generate revenues of US$ 9.9 billion in the second quarter of 2014

About Vale

7/30/2014

With a record in iron ore production, Vale was able to offset the drop in prices and generate revenues of US$ 9.9 billion in the second quarter of 2014

2Q14 Results Video In the video: Vale’s CFO summarizes the 2Q14 performance highlights

In a challenging quarter, in which the price of iron ore fell 15%, from an average of U$ 120 to U$ 109 per tonne, this Thursday, July, 31, Vale announced positive results for 2Q14. Our Net Operating Revenues grew from US$ 9.5 billion to US$ 9.9 billion and cash generation as measured by Adjusted EBITDA remained stable in relation to 1Q14, reaching US$ 4.1billion.

"We enjoyed growth in iron ore production of 12,6%, in comparison with the previous quarter. It was the best production performance in the history of the company for a second quarter. Thanks to that, we were able to increase revenues and maintain our cash generation", explains Vale´s Chief Financial Officer (CFO), Luciano Siani.

Other highlights presented by Luciano Siani in the video for 2Q14 were:

  • Costs and expenses fell by 20% over the second quarter of 2013. With this, the level of Vale´s general administrative expenses in 2014 is 20% less than the preceding year, which was already 40% smaller than in 2012.

  • Continuity in the execution of projects: with special emphasis on S11D, the Nacala logistics corridor in Mozambique, and the Itabiritos projects in Minas Gerais.

  • Start of production in the second expansion of Salobo project, our copper mine in Pará.

  • Vale did not record any increase in debt and paid preliminary dividends of US$ 2.1 billion.

"We are very pleased with the company’s performance and this is how we want to continue. More competitive and delivering the promised growth to our shareholders”, concludes Siani.

Webcasts

Today, July, 31, from 10 a.m, Brazil time (Brasília), our main executives present our results to investors and journalists in conferences broadcasted in real time. Get to know the time and links to access the webcasts.

2Q14 Results - Infographic
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With a record in iron ore production, Vale was able to offset the drop in prices and generate revenues of US$ 9.9 billion in the second quarter of 2014