Vale Reports Net Loss for 2014 Fourth Quarter

Vale (NYSE:VALE) announced its Q4 and full year results for 2014, which show a net loss of US$1.85 billion in the fourth quarter compared to a loss of US$6.5 million during the same period in 2013. The company’s annual adjusted EBITDA for 2014 was US$13.4 billion, a 40.8 percent decrease from the US$22.6 billion in 2013, a loss that has been attributed to the low commodity prices.

Some highlights of the report pertaining to iron ore include:

• Iron ore supply of 331.6 Mt3 , including Vale sourced production record of 319.2 Mt4 , mainly due to the record production in Carajás of 119.7 Mt.
• Record sales volumes of iron ore and pellets (313.6 Mt) and gold (351,000 oz), and the highest sales volume of nickel (272,000 t) since 2008.
• Reduction of US$ 1.2181 billion in expenses across all businesses in 2014. − SG&A5 decreased by US$ 234 million (21.1%). − Pre-operating and stoppage expenses5 decreased significantly by US$ 747 million (45.9% reduction) from US$ 1.628 billion in 2013 down to US$ 881 million in 2014.
• Granting of the operating license to expand the N4WS mine pit located in Carajás, supporting our iron ore production plan for 2015 and 2016.

Click here to read the full Vale (NYSE:VALE) press release.