According to analysts from Genial Investimentos, considering the volume of production in Q3 2023 reported by Brazilian miner Valer, its EBITDA of the period is expected to reach $5.1 billion, while the net profit could reach $2.6 billion.
These expectations compare to an EBITDA of $3.87 billion and a net profit of $892 million achieved by Vale in Q2 2023.
In the view of the analysts, the increase reflects a positive performance of the iron ore area of the company, despite the poor performance of its base metals area.
The main driver for the positive expectation for the iron ore area was both sales in volume and average sales prices of fines increasing in Q3 2023 from the previous quarter, despite reduced volumes and prices for pellets sales, under the same comparative basis.
According to the analysts, iron ore and pellets sales of Vale, in value, should represent 81 percent of its total sales revenues in Q3 2023, roughly in line with the effective figure of the previous quarter, 80 percent.