Brazilian ferroalloys producer Ferbasa saw its net profit decline 62.5 percent in Q1, year-on-year, to BRL 12.6 million, the company said on Monday while releasing its quarterly results.
Ferbasa’s net revenues in Q1 rose 45.2 percent, year-on-year, due to higher sales volumes, the appreciation of the USD over the BRL and reduced weighted average prices of alloys in USD. Ferroalloys sales volumes in Q1 totaled 73,273 mt, 42.9 percent up, year-on-year.
Cost of products sold rose 70.8 percent in Q1, year-on-year, to BRL 232.3 million, while both gross profit and profit margins in Q1 diminished to 23.9 percent and 4.1 percent, respectively, from 35.3 percent and 16 percent in Q1 2015.
Ferbasa’s adjusted EBITDA in Q1 was BRL 54.9 million, down from BRL 60.7 million in Q1 2015.
Ferbasa produced 55,463 mt of ferroalloys in Q1, 28.6 percent down, year-on-year.