Brazilian ferroalloys producer Ferbasa saw its net profit surge 535.7 percent in Q1, year-on-year, to BRL 80.1 million ($23.9 million), despite diminished revenues and sales volumes.
The company attributed the increased profit to improved commodity prices in USD, cost reductions, and to the export of 25,700 mt of chrome ore in February.
According to Ferbasa, net revenues in Q1 totaled BRL 302.9 million ($90.6 million), 0.8 percent down, year-on-year. Sales volumes declined further in the same period, down from 73,273 mt in Q1 2016 to 53,448 mt in Q1 this year.
Ferbasa said adjusted EBITDA in Q1 was up 85.1 percent, year-on-year, to BRL 101.6 million ($30.3 million).
Ferbasa’s inventories dropped from 232,629 mt in Q1 2016 to 79,441 mt in Q1 this year.