Usiminas posts net loss in Q1

Friday, 22 May 2020 21:53:56 (GMT+3)   |   Sao Paulo
       

Brazilian flats steelmaker Usiminas went from a net profit of BRL 76 million ($13.6 million) in Q1 2019 to post a net loss of BRL 424 million ($76.1 million) in Q1 2020.

Usiminas attributed the loss to a currency impairment of BRL 775 million ($139.2 million) due the weakening of the Brazilian Real (BRL) over the US dollar (USD).

Despite the Covid-19 pandemic, which forced the company to halt steel production and a blast furnace at its Ipatinga mill in early April, Usiminas said net revenues in Q1 rose 8 percent, year-on-year, to BRL 3.80 billion ($685.5 million).

Steel sales volumes in Q1 grew 4 percent, year-on-year, to 1.04 million mt. Iron ore sales volumes in Q1 improved 17 percent, year-on-year, to 2.21 million mt.

EBITDA in Q1 was BRL 569 million ($102.1 million), 17 percent up, year-on-year. Adjusted EBITDA margin slightly rose to 15 percent in Q1 this year, from 14 percent in Q1 2019.

USD = BRL 5.57 (May 22)


Most Recent Related Articles

Usiminas names members for audit committee

Votorantim sees adjusted EBITDA decline at its long steel segment

Brazil CSN goes from profit to loss in Q1

ArcelorMittal sees declining EBITDA in Q1 for Brazil segment

Gerdau sees net profit decline in Q1