Alexa
  • Directory of Taiwan

Iron-ore exports send profits soaring for Brazil mining giant Vale

Iron-ore exports send profits soaring for Brazil mining giant Vale

Profits for Vale, the world's second-largest mining company, soared 31 percent in the fourth quarter of last year, as strong iron-ore exports offset a decline in base metal prices and a strengthening currency.
Companhia Vale do Rio Doce SA posted on Thursday a net profit of 4.4 billion Brazilian reals ($2.6 billion, euro1.72 billion)) from October to December, or 0.9 reals (54 cents, euro0.36) per share. That compares with 3.37 billion reals ($2 billion, euro1.32 billion), or 0.7 reals (42 cents, euro.28) per share, in the same period last year.
Vale's total net profit for 2007 rose to 20 billion reals ($11.94 billion, euro7.9 billion), or 4.14 reals ($2.47, euro1.63) per share, compared to 13.4 billion reals ($8 billion, euro5.29 billion), or 2.78 reals ($1.67, euro1.10) per share in 2006.
Revenue shrank to 15.2 billion reals ($9.1 billion, euro6.02 billion) during the fourth quarter from 17.7 billion reals ($10 billion, euro6.61 billion) in the last quarter of 2006.
But in 2007, revenue soared to a company record of 66.4 billion reals ($39.6 billion, euro26.19 billion), up 42 percent from 46.75 billion reals ($27.9 billion, euro18.45 billion) a year earlier.
Vale's revenues last year were driven by a 29.4 percent rise in consolidated exports, to US$12.5 billion (euro8.27 billion).
The company posted production records in nine products and consolidated its position as the world's largest producer of iron ore, the second-largest nickel producer and among the largest in kaolin, iron alloys and alumina, which is smelted into primary aluminum.
Investments, excluding acquisitions, totaled $7.6 billion (euro5.03 billion) in 2007, more than any other any mining company in the world last year.
Vale became the world's second-largest mining company after its acquisition in 2006 of Canada's Inco Ltd., the world's No. 2 nickel miner. Only Anglo-Australian BHP Billiton Ltd. is larger than Vale.


Updated : 2021-08-02 21:09 GMT+08:00