Latest news with #WEGSA
Mint
24-07-2025
- Business
- Mint
Brazil Engine Maker Says Tariffs Are Hitting Long-Term Projects
(Bloomberg) -- Brazil's WEG SA, a provider of industrial machinery for global oil and power companies, said its clients are delaying long-term investments due to rising geopolitical tensions and new tariffs. Chief Financial Officer Andre Luis Rodrigues said the company is preparing actions to mitigate potential US tariffs of 50% on Brazil that are scheduled to take effect on Aug. 1. 'WEG has a strong global footprint and may reallocate its export routes,' Rodrigues said on the company's earnings call. For example, India could be used to serve the US market while Brazil supplies other countries, he said. Adjustments to production could take months, he added. WEG isn't expecting to raise prices because that could create openings for competitors, he said, adding that the company currently has good margins. The company, based in Jaragua do Sul, Brazil, has already partially passed on to clients the initial 10% tariffs imposed by the US, and it hasn't experienced any material impact on its financial results. WEG reported second-quarter net income and Ebitda, a measure of profitability that excludes items such as taxes and depreciation, that missed analysts' estimates. The shares fell as much as 3.2% in Sao Paulo trading on Thursday, extending the stock's decline following Wednesday's 8% drop that was sparked by the lower-than-expected results. The shares have declined about 30% so far this year, compared with an 11% gain for the benchmark Brazilian stock index. Related: Billionaire-Minting Engine Maker Gears Up to Fight Trump Tariffs --With assistance from Barbara Nascimento. More stories like this are available on
Bloomberg
24-07-2025
- Business
- Bloomberg
Brazil Engine Maker Says Tariffs Are Hitting Long-Term Projects
Brazil's WEG SA, a provider of industrial machinery for global oil and power companies, said its clients are delaying long-term investments due to rising geopolitical tensions and new tariffs. Chief Financial Officer Andre Luis Rodrigues said the company is preparing actions to mitigate potential US tariffs of 50% on Brazil that are scheduled to take effect on Aug. 1.
Bloomberg
28-05-2025
- Business
- Bloomberg
Brazilian Engine Maker Faces Trump's Tariffs After Making Billions for Owners
Wealth Billionaires Brazilian firm WEG has created $21.1 billion in wealth for the descendants of its founders. Now it's facing what may be its biggest challenge yet. It's said that 'dividend days' are the best days of the year in the remote Brazilian town of Jaragua do Sul, population 180,000. That payment, together with a profit-sharing program from electric-motor maker WEG SA, helps to support some 20% of the city's residents, spanning current workers to family members and retirees. The 64-year-old company, founded by an electrician, an accountant and a mechanic, says its own health clinics treat nearly as many patients a year as the city's health system.
Bloomberg
27-05-2025
- Automotive
- Bloomberg
Billionaire-Minting Brazilian Motor Maker Gears Up to Fight Trump Tariffs
It's said that 'dividend days' are the best days of the year in the remote Brazilian town of Jaragua do Sul, population 180,000. That payment, together with a profit-sharing program from electric-motor maker WEG SA, helps to support some 20% of the city's residents, spanning current workers to family members and retirees. The 64-year-old company, founded by an electrician, an accountant and a mechanic, says its own health clinics treat nearly as many patients a year as the city's health system.
