PT Vale records strong performance in 2020

About Vale

2/25/2021

PT Vale records strong performance in 2020

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Jakarta, February 25, 2021 – PT Vale Indonesia Tbk (“PT Vale” or the “Company”, IDX Ticker: INCO) and its subsidiaries (together the “Group”) today announced its audited financial results for 2020. The Group recorded EBITDA of US$273.0 million, mainly driven by higher production and shipments of nickel and the ability to manage costs prudently.

PT Vale recorded sales of US$764.7 million in 2020, 2% lower than sales recorded in 2019 of US$782.0 million due to a lower average realized price. The average realized price for nickel matte deliveries in 2020 was US$10,498 per ton, a decrease from the 2019 level of US$10,855 per ton. The Group’s cost of revenue in 2020 was US$640.4 million, a decrease of 4% from US$664.3 million in 2019. The main contributors to the lower cost of revenue were lower fuels and coal prices.

We are proud of, and at the same time grateful for, this achievement. It is clearly a result of hard work from all employees at the Company.

Nico Kanter, CEO and President Director

PT Vale’s production in 2020 was 72,237 metric tons (“t”) of nickel in matte, 2% higher than 2019 production. “We are proud of, and at the same time grateful for, this achievement,” said Nico Kanter, CEO and President Director of the Company. “It is clearly a result of hard work from all employees at the Company.”

In 2020, HSFO and diesel consumption decreased by 8% and 12% respectively, while coal consumption increased by 15% when compared to 2019. The increase in coal consumption was offset with lower HSFO and diesel consumption. HSFO, diesel and coal prices decreased by 36%, 31%, and 17% respectively.

The Group’s cash and cash equivalents as of December 31, 2020 were US$388.7 million, an increase of US$139.6 million from the balance at December 31, 2019. PT Vale will continue to exercise prudent control over its spending to preserve cash.

PT Vale disbursed approximately US$152.1 million in capital expenditures in 2020, a decrease from US$166.6 million spent in 2019.

PT Vale will continue to maintain its focus on improving productivity and cost efficiency to sustain competitiveness in the long term without compromising the Company’s foremost values: Life Matters Most and Prize Our Planet.

Readers are encouraged to review the Group’s results. Operational achievements as well as audited financial results are summarized on the documents below.


Downloads

Read the complete report by downloading the document below:

4Q20 Quarterly Result 4Q20 Production Report 2020 Financial Statement

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PT Vale records strong performance in 2020