Vale SA Reports 78% Surge in Q3 Profit on Stronger Iron Ore and Copper Output

Vale SA (BVMF:VALE3) posted a significant 78% year-on-year increase in pro forma net income for the third quarter, reaching $2.7 billion. The Brazilian mining giant’s robust performance was driven by higher iron ore and copper production, improved operational efficiency, and lower costs. Adjusted EBITDA rose 17% to $4.4 billion, while net operating revenue climbed 9% to $10.4 billion, supported by stronger sales volumes and favorable price realizations across key commodities.

Vale’s flagship iron ore division delivered its best quarterly output since 2018, reflecting ongoing efficiency improvements and operational stability. Copper production also hit its highest third-quarter level since 2019, highlighting growth in the company’s energy transition metals segment.

The miner achieved notable cost reductions across its portfolio. Iron ore all-in costs fell 4% to $52.9 per tonne due to higher quality premiums and lower freight expenses. Copper costs dropped 65% year-over-year to $994 per tonne, while nickel costs declined 32% to $12,347 per tonne. Reflecting its progress, Vale revised its 2025 cost guidance, lowering copper estimates to $1,000–$1,500 per tonne from $1,500–$2,000, and nickel to $13,000–$14,000 from $14,000–$15,500.

Capital expenditures for the quarter totaled $1.25 billion, down 11% from the previous year. The company reaffirmed its full-year investment target of $5.4–$5.7 billion as it continues to prioritize growth, safety, and sustainability initiatives.

Vale’s third-quarter results underscore its operational resilience and strategic focus on optimizing production in iron ore and base metals, positioning the company strongly amid rising global demand for materials essential to the clean energy transition.