Companhia Brasileira de Alumínio – CBA (CBAV3), which is controlled by Votorantim SA, closed the first quarter with a consolidated net loss of R$30 million. This represents a reversal in relation to the net profit of R$89 million recorded in the same period of the previous year, despite the substantial improvement in operating results, driven by cost reduction and a more favorable sales mix.
The loss attributed to the controllers totaled R$56.4 million, reversing a profit of R$67 million in the same period last year.
The net loss in the quarter was mainly attributed to the negative impact of exchange rate variation on the financial result and the higher debt balance.
CBA (CBAV3)
CBA’s net revenue reached R$1.7 billion in the period, a 12% drop compared to the previous year, mainly due to 8.2% lower aluminum prices, which reached US$2,199 per ton on average in the quarter on the London Metal Exchange (LME). Despite the 13% increase in the sales volume of the metal in annual comparison, to 120 thousand tons, this increase was not enough to offset the reduction in prices.
On the other hand, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) soared 74%, reaching R$146 million, reflecting the cost reduction efforts implemented in recent months. This brought the company’s adjusted EBITDA margin to 9%, an increase of five percentage points from the previous year.
The reduction in costs was driven by the greater operational efficiency of the furnaces and the decrease in input prices.
The company
CBA is a Brazilian company in the mining and metallurgy sector, specialized in aluminum production. Founded in 1941, CBA has a wide range of operations, including mining, bauxite refining, alumina production and manufacturing of primary aluminum and processed aluminum products. Its industrial plant is located in Alumínio, in the state of São Paulo, and is one of the largest and most modern aluminum production facilities in Latin America.
In addition to its industrial activities, CBA is also involved in sustainability and social responsibility initiatives, seeking to reduce its environmental impact and contribute to the development of the communities where it operates.
Through its diversified operations and expertise in the sector, CBA plays an important role in the aluminum production chain, providing high quality products for various sectors of the economy, such as civil construction, transport, packaging, among others.
