Vale’s Q4 2015 Earnings Report: Decline In Iron Ore Prices Negatively Impacts Results

+34.72%
Upside
12.18
Market
16.41
Trefis
VALE: VALE logo
VALE
VALE

Vale’s revenue declined 32% due to a decline in commodity prices, particularly those of iron ore, with cost reduction and productivity enhancement initiatives limiting the decline in the company’s adjusted EBITDA margin to 790 basis points.

Vale Earnings 1

Vale Earnings 2

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Vale Earnings 3

Cost reduction and productivity enhancement initiatives partially offset impact of top line headwinds on adjusted EBITDA margins.

Vale Earnings 4

Vale Earnings 5

Notes:

1) The purpose of these analyses is to help readers focus on a few important things. We hope such lean communication sparks thinking, and encourages readers to comment and ask questions on the comment section, or email content@trefis.com
2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to our complete analysis for Vale