By Dean Seal
Brazilian iron-ore mining company Vale profit fell for a sixth consecutive quarter as an uptick in sales by volume failed to offset a drop in iron prices.
The Rio de Janeiro-based company reported net income from continuing operations of $892 million for the second quarter, down from $4.09 billion in the same quarter last year. Net operating revenue declined to $9.67 billion from $11.16 billion in the year-ago period.
Adjusted earnings before interest, taxes, depreciation and amortization from continuing operations fell to $3.87 billion during the quarter, compared with $5.25 billion in last year’s second quarter.
The average realized price per metric ton of iron-ore fines fell to $111 from $137.90 per ton a year earlier, while the price for iron-ore pellets, a premium product, slumped to $160.40 per ton from $201.30 per ton, Vale said.
Vale reported last week that it sold 63.3 million metric tons of iron ore in the second quarter, up from 62.8 million tons a year earlier, while the sales of pellets was about even with the year-ago quarter’s total of 8.8 million tons.
The company’s American depositary shares were up 1.4% at $15 in after-hours trading.
Write to Dean Seal at [email protected]
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