Latest news with #SaoPaulo-traded
Yahoo
25-04-2025
- Business
- Yahoo
Brazil's Vale sees no material impacts from trade war so far
SAO PAULO (Reuters) -Brazilian miner Vale said on Friday that it has so far not seen a material impact from the ongoing global trade war on its operations and sales, but vowed to keep monitoring it closely amid uncertain market conditions. Vale is one of the world's largest iron ore producers and has a top client in China, which has been locked in a trade dispute with the United States following President Donald Trump's sweeping tariffs. Speaking on a call with analysts after the company reported a 17% first-quarter net profit drop on lower iron ore prices, Vale executives said it was too soon to talk about the trade war's impact on prices of the key steelmaking ingredient. Chief Executive Gustavo Pimenta, nonetheless, acknowledged that a potential global economic slowdown would likely have an impact on commodity markets. Vale also said that given the uncertain market conditions, it was not the right time to discuss potential extraordinary dividend payments - a shareholder remuneration practice it has adopted in the recent past. Sao Paulo-traded shares of the mining giant slipped about 2% on Friday, among the biggest fallers on Brazil's benchmark stock index Bovespa, which was roughly flat. Sign in to access your portfolio
Yahoo
24-03-2025
- Business
- Yahoo
Brazil airline Gol signs Chapter 11 exit financing commitment
SAO PAULO (Reuters) -Brazilian airline Gol said on Monday it had entered an exit financing commitment with certain investors, without naming them, as it eyed exiting Chapter 11 bankruptcy proceedings. Under the deal, the parties have committed to purchasing up to $1.25 billion of the $1.9 billion debt instruments to be issued as part of the process, which will be used to repay obligations under a debtor-in-possession financing. The money will also be used to pay transaction costs and provide working capital and other support for its business upon emergence from Chapter 11, the carrier added. Gol has been in bankruptcy proceedings since early 2024. It noted that in addition to the exit financing, it was conducting a competitive process to evaluate alternative transactions, including the issuance of new debt as well as potential equity investments. Gol reiterated that the plan would significantly deleverage its balance sheet while leading to a significant dilution of its existing equity. Sao Paulo-traded shares of Gol were up more than 5% on Monday. Sign in to access your portfolio
Yahoo
26-02-2025
- Business
- Yahoo
Brazil's Ambev posts higher Q4 profit, expects volatility ahead
SAO PAULO (Reuters) - Brazilian brewer Ambev on Wednesday reported a 7.5% increase in its fourth-quarter adjusted net profit despite a decline in total volumes, driving its shares higher even as it flagged that volatility will "remain a reality" in 2025. WHY IT'S IMPORTANT Ambev is one of Brazil's biggest firms and has large operations in the Americas. It is a subsidiary of Anheuser-Busch InBev, the world's largest brewer by volume, which reported group results earlier in the day. BY THE NUMBERS Ambev posted an adjusted net profit of 5.02 billion reais ($874.63 million) in the October-December period, it said in a securities filing, a 7.5% year-on-year rise driven by higher core earnings and better financial results. Total volumes, which declined 3.2% in the period, were affected by softer market conditions in Argentina and adverse weather in Brazil. Organic net revenue was still up 4.2% to 27.04 billion reais, with growth in most business units. 2025 OUTLOOK Assuming current foreign exchange levels and commodity prices, Ambev said it expects the cash cost of goods sold per hectoliter in its key Brazil Beer segment to grow between 5.5% and 8.5% this year. KEY QUOTES "In 2025, volatility will remain a reality and we expect to face more input cost pressure than in 2024," Ambev said in its statement. "Nonetheless, we will continue to work to find opportunities and enhance efficiency, pursuing our ambition of expanding consolidated margins." MARKET REACTION Sao Paulo-traded shares in Ambev rose more than 5% in early trading, making it the biggest gainer on local benchmark stock index Bovespa, which was up 0.4%. Analysts at JPMorgan highlighted stronger margins in Ambev's international division. "We think the market should welcome these results, despite the weak Brazil beer top line. It should also bring upside risk to our and consensus figures," they said. ($1 = 5.7396 reais) Sign in to access your portfolio
Reuters
26-02-2025
- Business
- Reuters
Brazil's Ambev posts higher Q4 profit, expects volatility ahead
SAO PAULO, Feb 26 (Reuters) - Brazilian brewer Ambev ( opens new tab on Wednesday reported a 7.5% increase in its fourth-quarter adjusted net profit despite a decline in total volumes, driving its shares higher even as it flagged that volatility will "remain a reality" in 2025. WHY IT'S IMPORTANT Ambev is one of Brazil's biggest firms and has large operations in the Americas. It is a subsidiary of Anheuser-Busch InBev ( opens new tab, the world's largest brewer by volume, which reported group results earlier in the day. BY THE NUMBERS Ambev posted an adjusted net profit of 5.02 billion reais ($874.63 million) in the October-December period, it said in a securities filing, a 7.5% year-on-year rise driven by higher core earnings and better financial results. Total volumes, which declined 3.2% in the period, were affected by softer market conditions in Argentina and adverse weather in Brazil. Organic net revenue was still up 4.2% to 27.04 billion reais, with growth in most business units. 2025 OUTLOOK Assuming current foreign exchange levels and commodity prices, Ambev said it expects the cash cost of goods sold per hectoliter in its key Brazil Beer segment to grow between 5.5% and 8.5% this year. KEY QUOTES "In 2025, volatility will remain a reality and we expect to face more input cost pressure than in 2024," Ambev said in its statement. "Nonetheless, we will continue to work to find opportunities and enhance efficiency, pursuing our ambition of expanding consolidated margins." MARKET REACTION Sao Paulo-traded shares in Ambev ( opens new tab rose more than 5% in early trading, making it the biggest gainer on local benchmark stock index Bovespa (.BVSP), opens new tab, which was up 0.4%. Analysts at JPMorgan highlighted stronger margins in Ambev's international division. "We think the market should welcome these results, despite the weak Brazil beer top line. It should also bring upside risk to our and consensus figures," they said. ($1 = 5.7396 reais)
Yahoo
20-02-2025
- Business
- Yahoo
Brazil steelmaker Gerdau rethinks Mexico mill after Trump tariffs
By Alberto Alerigi SAO PAULO (Reuters) - Brazilian steelmaker Gerdau may opt to bump up its output capacity in the United States instead of building a new plant in Mexico, its CEO said on Thursday, as tariffs implemented by President Donald Trump shake up global trade. Gerdau announced last year it was considering installing a new special steel mill in Mexico, which would have an annual capacity of some 600,000 metric tons and require investment of $500 million to $600 million. Gerdau initially expected to reach a final investment decision by the end of 2024 to start building the plant this year, but it has now postponed the decision until July. "We are reviewing all our analyses in light of what is happening," Chief Executive Gustavo Werneck told an earnings call. "Special steel is a very important segment for us in the Americas." "We are looking at the possibility of building the mill in two stages, or increasing production capacity in the United States," Werneck said, citing the company's units in Michigan and Arkansas. U.S. President Trump earlier this month substantially raised tariffs on steel and aluminum imports to a flat 25% "without exceptions or exemptions," adding to other tariff threats against major trading partners such as Mexico and Canada. Gerdau stands to benefit from the tariffs, as it operates production units in the U.S., and had previously touted its substantial footprint in the country as a hedge against the risk of protectionism from Trump. Werneck said the tariffs should lead to a better production mix in the U.S. and higher profitability. The firm is currently operating at 70% of its rolling capacity in the U.S., or about 4 million tons per year. Gerdau, Brazil's largest steelmaker by market capitalization, on Wednesday posted a 9% decline in its fourth-quarter adjusted net profit from a year earlier, landing below market expectations. The firm, which owns mills across the Americas, said that starting from the first quarter of 2025 it would segment its earnings out by regions - Brazil, North America and South America. "Gerdau North America should be a clear winner - at least in the near-term - following the steel tariffs announced by President Trump," analysts at Scotiabank said, although noting the Brazilian unit could be negatively impacted. Sao Paulo-traded shares in Gerdau rose 0.7% on Thursday, in line with the broader Bovespa stock index. Sign in to access your portfolio
