Gerdau's profit rises 40% in Q3 on strong North America operations
GGB•GGB•GGB•GGB•Gerdau's adjusted net profit rose nearly 40% year over year to 1.52 billion reais in the third quarter, below analysts' 1.77 billion-real forecast. Revenue increased about 4% to 18.69 billion reais, while adjusted EBITDA rose 38% to 3.77 billion reais.
Gerdau posted adjusted net profit of 1.52 billion reais ($281.1 million) for July-September, up nearly 40% from a year earlier but below the 1.77 billion reais forecast in an analyst poll. Revenue rose about 4% to 18.69 billion reais, compared with projections of 18.56 billion reais.
Adjusted EBITDA increased about 38% to 3.77 billion reais, mostly in line with analysts' expectations of 3.71 billion reais. Gerdau said strong demand and an order backlog above historical averages supported North America, where gross profit rose 78% year over year to 2.75 billion reais. In Brazil, the company noted high steel-product supply in some segments.
