CSN Shares Rise 6.2% After Strong 3Q Iron Ore Sales

By Jeffrey T. Lewis

SÃO PAULO–Companhia Siderúrgica Nacional’s share’s rose 6.2% after the Brazilian steelmaker known as CSN reported strong iron ore sales volumes that mitigated a decline in steel sales.

Shares reached 13.42 reais, the equivalent of $2.76, and were down 13% from the end of last year through Monday’s close. Brazil’s benchmark Ibovespa stocks index was up 1.9% in early trading.

CSN reported its adjusted EBITDA rose 4% from a year earlier. CSN’s iron ore production and shipments rose to a record high in the quarter, and prices were better than expected because of a mix with less third-party ore, said Citi Research analysts Alexander Hacking and Stefan Weskott in a research note.

Domestic iron ore sales soared 57% by volume in the third quarter from a year earlier, while exports of the steel precursor increased 24%. Steel sales fell 12% by volume in the period, while revenue increased 2%.

Write to Jeffrey T. Lewis at [email protected]

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