Vale’s Q2 2016 Earnings Preview: Decline In Commodity Prices To Negatively Impact Results

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We expect Vale’s Q2 2016 results to be negatively impacted by a subdued commodity pricing environment, with all the major commodities produced by the company experiencing a decline in price. A reduction in Vale’s iron ore cash production costs with the ramp up of production from low cost deposits (as illustrated in the tables shown below) will partially offset the impact of the decline in commodity prices on the company’s results.

Vale's Q2 2016 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