RIO DE JANEIRO/SAO PAULO (Reuters) -Brazilian miner Vale reported on Thursday a 17% decline in its first-quarter net profit from a year earlier, dragged down by lower iron ore prices.
Vale, one of the largest iron ore producers in the world, posted a $1.39 billion net profit for the quarter through March, while analysts polled by LSEG had expected a $1.68 billion profit.
In the earnings report, Vale said its results were impacted by lower iron ore prices, noting the effect was partially offset by its work to reduce iron ore production costs and effects related to the Brazilian real’s appreciation against the U.S. dollar.
Adjusted core profit as measured by earnings before interest, taxes, depreciation and amortization came in at $3.12 billion, falling 9% from a year earlier and close to the $3.16 billion expected by analysts.
Vale, which released its output and sales report last week, posted net revenue for the quarter of $8.12 billion, down 4% year-on-year and compared to analysts’ estimate of $8.03 billion.
(Reporting by Marta Nogueira in Rio de Janeiro and Andre Romani in Sao Paulo; Editing by Brendan O’Boyle)
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