This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Vale's Second Quarter Earnings And Conference Call Announcement

RIO DE JANEIRO, July 30 /PRNewswire-FirstCall/ -- Vale (NYSE: VALE) would like to share the highlights of it's Webcast about the company's performance in the 2Q of 2010.

Main highlights of Vale's Webcast:

http://www.vale.com/en-us/investidores/press-releases/pages/default.aspx

The main highlights of Vale's performance in 2Q10 were:

  • Operating revenue of US$ 9.9 billion in 2Q10, 45.0% more than the US$ 6.8 billion in 1Q10.
  • Operating income, as measured by adjusted EBIT (earnings before interest and taxes), of US$ 4.6 billion in 2Q10, 124.5% above 1Q10.
  • Operational margin, as measured by adjusted EBIT margin, increased to 47.9% in 2Q10 from 31.2% in 1Q10.
  • Cash generation, as measured by adjusted EBITDA (earnings before interest, taxes, depreciation and amortization), rose to US$ 5.6 billion in 2Q10 - the third highest quarterly EBITDA in our history - from US$ 2.9 billion in 1Q10.
  • Net earnings of US$ 3.7 billion, equal to US$ 0.70 per share on a fully diluted basis, against US$ 1.6 billion in 1Q10.
  • Investments - excluding acquisitions - reached US$ 2.4 billion, with US$ 2.0 billion spent on organic growth.
  • First tranche of the minimum dividend for 2010, equal to US$ 1.25 billion or US$ 0.24 per share, paid on April 30.
  • Total debt/LTM EBITDA ratio fell below 2x, reaching 1.76x.

A webcast was held today in Rio de Janeiro ( Brazil) on Vale's performance during the second quarter of 2010, as the company reports strong operational and financial performance in the second quarter of 2010 (2Q10), the best since the global financial shock took place in 3Q08, signaling that value creation is gaining momentum. These results reflect a rising global demand for minerals and metals, operating costs under control and our efforts to increase production. 2Q10 marks the first quarter with the implementation of the new pricing regime for iron ore.

The move towards price flexibility brings more efficiency and transparency to iron ore pricing and allows the recognition of quality differences, contributing to stimulate long-term investment. In addition, clients are able to know beforehand the price to be paid in the following quarter, thus facilitating cost control and inventory management. Vale strongly believes that the continuous quest for growth will keep Vale on the road to significant shareholder value creation.

1 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,076.23 +5.01 0.03%
S&P 500 1,975.97 -1.83 -0.09%
NASDAQ 4,502.2720 -3.58 -0.08%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs