This Wednesday, July 25th, Vale announced its financial results for the second quarter of 2018. The results prove the importance of good management, based on the three aspects: predictability, with strong results and overcoming the challenges of the quarter; flexibility, with production and sales records; and quality, with high premiums. These results show the active optimization of our flexible supply chain and our premium product portfolio.
Cash generation measured by EBITDA closed at US$3.9 billion. "This result allowed us to announce dividends of US$2 billion to shareholders and the share buy-back of US$1 billion," commented the Chief Financial Officer, Luciano Siani Pires, in the video below.
Among the highlights of the quarter is the operating result, with record iron ore production for the period. "We offset the effect of the truck drivers’ strike and a US$9 per ton drop in the price of iron ore with higher premiums for our high-quality products," says the CFO. Underline earnings were US$2.1 billion, an increase of 17% compared to the previous quarter.
Net debt fell US$3.4 billion, closing at US$11.5 billion. In the last 12 months, debt has fallen by US$10 billion. "This was an extraordinary quarter with the largest cash generation for a second quarter in the last 10 years, dividend distribution, share buy-back, and debt reduction. It's the dawn of a new era for our company," says Siani.
On this Thursday, starting at 10:00, CEO Fabio Schvartsman and the Executive Directors will host investor conferences. Access the links below.