Vale's Profit Drops 96 Percent To 6.19 Million US Dollars In The First Quarter Of 2024

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JAKARTA - PT Vale Indonesia Tbk (INCO) reported a decrease in net profit in the first quarter of 2024. In his statement, it was known that the company's profit had fallen by 96 percent compared to the previous period.

In the first quarter, INCO managed to score a net profit of USD 6.2 million, while in the previous period it was recorded at USD 168.7 million.

The company's gross profit in the first quarter was recorded to have decreased from the previous 134.93 million US dollars to 20.09 million US dollars.

In terms of revenue, INCO recorded revenue in the first quarter of 2024 of 229.9 million US dollars, down 37 percent from the same quarter in 2023 which was recorded at 363.18 million US dollars.

"Especially because the average realization price is lower. The average realization price is adjusted from 14,239 US dollars per ton in the fourth quarter of 2023 and 21,672 US dollars per ton in the first quarter of 2023 to 12,651 US dollars per ton," said INCO Chief Financial Officer Bernardus Irmanto quoted Monday, July 1.

Even though the price of nickel fluctuates, he continued, the company managed to maintain the Cost of Revenue. On a year-on-year basis, the Company's Cost of Revenue fell by 8 percent from 228.2 million US dollars in the first quarter of 2023 to 209.8 million in the first quarter of 2023.

"In addition to profiting from lower commodity prices, the Company remains focused on increasing efficiency and reducing costs while continuing to improve discipline in good mining practices," he continued.

In terms of production, INCO recorded nickel production in burlap at 18,199 metric tons and nickel shipments at 18,175 tons in the first quarter of 2024.

"As part of the company's maintenance strategy, we did not make major improvements in the first quarter of 2024, resulting in an increase in nickel production in sales by 9 percent compared to the same period last year. However, this production rate was 5 percent lower than the previous quarter mainly due to lower nickel levels," concluded Bernardus.