The Brazilian Gerdau group posted a consolidated net profit of BRL 757.8 million ($134.4 million) for Q1 2025, against BRL 2.052 billion for Q1 2024.
Net sales revenues increased by 7.19 percent to BRL 17.375 billion, the gross profit declined by 19.55 percent to BRL 1.946 billion, and the operational profit declined by 49,65 percent to BRL 1.385 billion.
The sales volume of steel products increased by 5.1 percent to 2.858 million mt.
In terms of business divisions of the group, in Q1 2025, Brazil was responsible for 43 percent of the group’s net sales, North America for 50 percent, and South America for 7 percent.
The share of the EBITDA achieved by each of these units is roughly the same as the share of their net sales.
Regarding the sharp decline of the net profit, the company stated that “the steel demand in Brazil remained strong during Q1 2025, but the steel offer, headed by imports, was also strong, resulting in a share of the imported products reaching 22 percent in the domestic market, far higher than the historical average, intensifying the unfair competition in the local market”.
USD = BRL 5.64 (April 29)