Vale Q1 2016 Earnings Preview: Cost Reduction To Offset Impact Of Decline In Commodity Prices On Earnings

+35.44%
Upside
12.12
Market
16.41
Trefis
VALE: VALE logo
VALE
VALE

We expect a reduction in Vale’s operating cash costs for iron ore production and transportation as a result of its cost rationalization efforts and the mining of low-cost ore to offset the impact of a decline in commodity prices (as reflected in our realized price estimates for Vale for 2016) on the company’s earnings in Q1 2016.

Vale Pre-Earnings

Have more questions about Vale? See the links below.

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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