Vale FY17 Profit Rises

(RTTNews) - Brazilian metals and mining company Vale S.A. (VALE) reported Wednesday that its fiscal 2017 net income was $5.5 billion, a growth of $1.5 billion from last year.

Adjusted EBITDA was $15.34 billion in 2017, 28% higher than in 2016, despite the negative impact of the BRL appreciation and higher bunker oil prices, mainly as a result of higher realized prices and premiums.

Quarterly adjusted EBITDA was $4.11 billion.

Chief Executive Officer Fabio Schvartsman said, "Our 2017 performance shows remarkable cash generation and substantial net debt reduction as a result of improvements in price realization, strict discipline in capital allocation and slightly improved results from nickel and coal assets."

Further, Vale said it will pay R$ 4.7 billion or $1.5 billion of shareholder remuneration in the form of interest on capital.

Vale's Board of Directors approved the distribution of R$ 2.2 billion in December 2017 and R$ 2.5 billion in February 2018 to be paid in March 2018, which is equivalent to the minimum established by Vale's bylaws.