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Profits jump 75 percent for CAP SA on higher steel and iron ore sales

Tuesday, 08 November 2011 02:40:03 (GMT+3)   |  
       
Chile's CAP SA reported net profit of $143 million in Q3 2011, a 75 percent jump from $82 million in Q3 2010, and up from earnings of $138 million in Q2. Q3 earnings were also the highest quarterly earnings for CAP SA ever. Profit also increased 112 percent for the first nine months of the year to $363.5 million compared to the same period a year ago.

Both higher steel and iron ore prices contributed to the increase in quarterly profit, which rose on average of 12 percent, as shipments jumped 50 percent to 3.5 million metric tons in Q3.

Since September, however, both tons traded and spot prices in CAP iron ore segment have plummeted, as a result of Chinese iron ore demand and activity, but the company does expect both demand and prices to recover.


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