LUXEMBOURG, LU / ACCESS Newswire / April 29, 2025 / Ternium S.A. (NYSE:TX) today announced its results for the first quarter ended March 31, 2025.
The financial and operational information contained in this press release is based on Ternium S.A.'s operational data and consolidated condensed interim financial statements prepared in accordance with IAS 34 "Interim financial reporting" (IFRS) and presented in U.S. dollars ($) and metric tons. Interim financial figures are unaudited. This press release includes certain non-IFRS alternative performance measures such as Adjusted EBITDA, Cash Operating Income, Adjusted Net Income, Adjusted Equity Holders' Net Income, Adjusted Earnings per ADS, Free Cash Flow and Net Cash. The reconciliation of these figures to the most directly comparable IFRS measures is included in Exhibit I.
First Quarter of 2025 Highlights
Summary of First Quarter of 2025 Results
First Quarter of 2025 Highlights
In the first quarter of 2025, Ternium reported a sequential increase in adjusted EBITDA driven by improved margins and steel and iron ore shipments. Cost per ton decreased due to the gradual consumption of lower-priced slabs and raw material inventories as well as to improvements in industrial operations efficiency, while a sequentially lower revenue per ton partially offset this cost reduction.
Ternium's sales volume in Mexico decreased both sequentially and year-over-year in the first quarter of 2025. Uncertainty surrounding evolving U.S. trade policies continued to weight on shipments in the first quarter, primarily in the commercial steel market. However, the company's sales to industrial customers remained relatively stable.
Shipments in the Brazilian steel market rose sequentially in the first quarter, rebounding from the seasonal slowdown in the fourth quarter. Year-over-year, sales volumes in Brazil grew by 9%, reflecting the successful ramp-up of Usiminas' main blast furnace and increased domestic demand for steel products.
In the Southern Region, steel sales volumes remained relatively stable in the first quarter of 2025 compared to the fourth quarter of 2024. Year-over-year, the company reported a 32% rise in steel shipments during the first quarter, reflecting better activity in the Argentine steel market after a notably weak performance in the same period of 2024.
In Other Markets, steel shipments rose by 36% sequentially in the first quarter partly as a result of the sale of steel slabs to third parties. Year-over-year, steel shipments declined by 14% in the first quarter of 2025, primarily due to lower sales volume in the U.S. market.
Net income of $142 million in the first quarter of 2025 included a provision adjustment charge of $45 million in connection with the ongoing litigation related to the acquisition of a participation in Usiminas. This adjustment accounted for interest accrual and the appreciation of the Brazilian Real versus the U.S. dollar in the quarter. Excluding this charge, Adjusted Net Income amounted to $188 million.
Ternium reported a Net Cash position of $1.3 billion at the end of March 2025, down from $1.6 billion at the end of 2024. Cash provided by operations amounted to $207 million in the first quarter and capital expenditures were $518 million, mainly in connection with the ongoing expansion at the company's industrial center in Pesquería, Mexico.
Following a review of the project, the company estimates the total cost of its expansion plan in Pesquería to reach $4.0 billion, a 16% increase from a prior estimate in February 2024, primarily due to higher prices for assembly and construction, larger volumes of structures and civil works, as well as higher costs associated with extended deadlines. Ternium now expects the new steel slab mill in Pesquería will begin operations by the fourth quarter of 2026.
Outlook
Ternium expects a sequential increase in adjusted EBITDA in the second quarter of 2025, driven mainly by higher realized steel prices and slightly lower cost per ton, with relatively stable steel shipments.
In Mexico, the company anticipates volumes in the second quarter to remain subdued due to the unresolved tariff issue, which impacts operational and investment decisions in the steel value chain.
In Brazil, Usiminas anticipates sequentially stable steel shipments in the second quarter of 2025, amid resilient steel demand. The issue of unfair trade practices remains unresolved in this market, with notable year-over-year increases in imports during the first quarter of 2025.
In Argentina, the company expects a sequential increase in shipments in the second quarter of 2025 due to improvements in macroeconomic conditions.
Analysis of First Quarter of 2025 Results
Consolidated Net Sales
Adjusted EBITDA
Adjusted EBITDA in the first quarter of 2025 equals Net Income adjusted to exclude:
Depreciation and amortization;
Income tax results;
Net financial result;
Equity in earnings of non-consolidated companies; and
Provision charge for ongoing litigation related to the acquisition of a participation in Usiminas.
And adjusted to include the proportional EBITDA in Unigal (70% participation).
Adjusted EBITDA Margin equals Adjusted EBITDA divided by net sales. For more information see Exhibit I - Alternative performance measures - "Adjusted EBITDA".
Steel Segment
In the first quarter of 2025, the Steel Segment's shipments and net sales rose slightly compared to the fourth quarter of 2024. Increased sales volumes in Brazil and Other Markets were partially offset by lower sales volumes in Mexico. Realized steel prices edged down slightly on a sequential basis.
Year-over-year, shipments in the Steel Segment remained relatively stable, while net sales declined by 19% in the first quarter of 2025. Lower sales volumes in Mexico and Other Markets were largely offset by higher shipments in Brazil and the Southern Region. Steel revenue per ton fell across all regions due to lower steel prices.
In Mexico, steel shipments had a sequential decline in the first quarter of 2025, reflecting a weaker commercial market. In the case of the industrial market, demand from industrial customers remained relatively stable. Year-over-year, shipments declined in the period, mainly due to a soft commercial market and a slight decrease in sales to industrial customers.
In Brazil, shipments rose sequentially during the first quarter reflecting higher demand for steel products after a seasonally low fourth quarter. Year-over-year, sales volumes increased in the first quarter reflecting the successful ramp up of Usiminas' main blast furnace and a stronger demand for steel products in the country.
In the Southern Region, steel shipments remained relatively stable sequentially in the first quarter. Year-over-year, sales volumes showed a significant rebound in this period, reflecting better activity in the Argentine steel market after a notably weak performance in the same period of 2024.
In Other Markets, sales volumes rose sequentially in the first quarter partly as a result of the sale of steel slabs to third parties. On a year-over-year basis, shipments decreased in the period, largely reflecting lower sales volumes in the U.S. market.
The Steel Segment's Cash Operating Income showed a sequential increase in the first quarter of 2025, driven by higher sales volumes and margins. There was a sequential decrease in raw material and purchased slab costs that were partially offset by lower realized steel prices.
Year-over-year, the decrease in the Steel Segment's Cash Operating Income in the first quarter of 2025 was driven mainly by lower margins. In the period, a $217 revenue per ton reduction was partially offset by a decrease in raw material and purchased slab costs.
Note: For a reconciliation of the Steel Segment's Cash Operating Income and Cash Operating Income per Ton and Margin to the most directly comparable IFRS measures, see Exhibit I - Alternative performance measures - "Cash Operating Income - Steel Segment".
Mining Segment
The Mining Segment's net sales increased sequentially by 13% in the first quarter of 2025, reflecting higher realized iron ore prices and a slight increase in shipments. Year-over-year, the Mining Segment's net sales rose by 2% in the first quarter of 2025, with an increase in shipments supported by higher production levels in Mexico and Brazil. This was mostly offset by a decrease in revenue per ton, reflecting the year-over-year decline in iron ore prices.
In the first quarter of 2025, the Mining Segment's Cash Operating Income decreased sequentially and on a year-over-year basis as a result of lower margins, partially offset by higher sales volumes. Compared to the fourth quarter of 2024, the decrease in margins in the first quarter of 2025 resulted from higher cost per ton, partially offset by higher realized iron ore prices.
Year-over-year, margins contracted due to lower realized iron ore prices, partially offset by a moderate decline in cost per ton.
Note: For a reconciliation of the Mining Segment's Cash Operating Income and Cash Operating Income per Ton and Margin to the most directly comparable IFRS measures, see Exhibit I - Alternative performance measures - "Cash Operating Income - Mining Segment".
Net Financial Results
Net financial results for the first quarter of 2025 recorded a $63 million gain. The net foreign exchange result for the period was a $31 million gain, driven mainly by the Brazilian Real's appreciation against the U.S. dollar. This had a favorable effect on Usiminas' U.S. dollar-denominated financial debt, as its functional currency is the Brazilian Real, as well as on
Ternium Brazil's long local currency position. In addition, Ternium Argentina's divestment of Argentine government bond holdings resulted in a gain of $30 million in the period, due to the recycling of changes in the fair value of financial instruments from Other Comprehensive Income to Financial Results.
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest results |
|
|
14 |
|
|
|
18 |
|
|
|
38 |
|
Net foreign exchange result |
|
|
31 |
|
|
|
(72 |
) |
|
|
(41 |
) |
Change in fair value of financial assets |
|
|
29 |
|
|
|
(3 |
) |
|
|
(137 |
) |
Other financial expense, net |
|
|
(11 |
) |
|
|
(11 |
) |
|
|
(22 |
) |
Net financial results |
|
|
63 |
|
|
|
(67 |
) |
|
|
(163 |
) |
Income Tax Results
Ternium Mexico, Ternium Argentina and Ternium Brasil use the U.S. dollar as their functional currency and are, therefore, affected by deferred tax results.
These results account for the impact of local currency fluctuations against the U.S. dollar, as well as for the effect of local inflation.
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current income tax expense |
|
|
(25 |
) |
|
|
(10 |
) |
|
|
(126 |
) |
Deferred tax gain (loss) |
|
|
3 |
|
|
|
(54 |
) |
|
|
86 |
|
Income tax expense |
|
|
(23 |
) |
|
|
(64 |
) |
|
|
(40 |
) |
Result before income tax |
|
|
165 |
|
|
|
397 |
|
|
|
532 |
|
Effective tax rate |
|
|
14 |
% |
|
|
16 |
% |
|
|
8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income
In the first quarter of 2025, Ternium recorded net income of $142 million, which included a provision
adjustment charge of $45 million for ongoing litigation related to the acquisition of a participation in Usiminas. This adjustment accounted for interest accrual and the appreciation of the Brazilian Real versus the U.S. dollar in the quarter. Excluding this, Adjusted Net Income amounted to $188 million, on operating income of $132 million and a financial result gain of $63 million.
Adjusted Equity Holder's Net Income was $108 million in the first quarter, or $55 cents per ADS, mainly after accounting for the participation of a 76.7% non-controlling interest in Usiminas and a 37.4% non-controlling interest in Ternium Argentina.
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Owners of the parent |
|
|
67 |
|
|
|
281 |
|
|
|
361 |
|
Non-controlling interest |
|
|
75 |
|
|
|
52 |
|
|
|
130 |
|
Net Income |
|
|
142 |
|
|
|
333 |
|
|
|
491 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Excluding provision charge (reversal) for ongoing litigation related to the acquisition of a participation in Usiminas in 2012 |
|
|
45 |
|
|
|
(404 |
) |
|
|
- |
|
Adjusted Net Income (Loss) |
|
|
188 |
|
|
|
(71 |
) |
|
|
491 |
|
$ per ADS |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
Earnings per ADS |
|
|
0.34 |
|
|
|
1.43 |
|
|
|
1.84 |
|
Adjusted Earnings (Losses) per ADS |
|
|
0.55 |
|
|
|
(0.42 |
) |
|
|
1.84 |
|
Cash Flow and Liquidity
In the first quarter of 2025, cash from operations amounted to $207 million after a $55 million increase in working capital. Trade and other receivables rose by a net $205 million during the period, driven by higher sales. In addition, trade payables and other liabilities declined by $98 million in the first quarter.
On the other hand, inventories decreased by $249 million due to lower costs and volumes.
Capital expenditures totaled $518 million in the first quarter, primarily reflecting the progress made in the construction of the new facilities at Ternium's industrial center in Pesquería, Mexico.
Ternium's Net Cash position declined by $358 million during the first quarter of 2025, reaching $1.3 billion at the end of March 2025, primarily due to cash outflows related to its capital expenditure program.
Conference Call and Webcast
Ternium will host a conference call on April 30, 2025, at 8:30 a.m. ET in which management will discuss first quarter of 2025 results. A webcast link will be available in the Investor Center section of the company's website at www.ternium.com.
Forward Looking Statements
Some of the statements contained in this press release are "forward-looking statements". Forward-looking statements are based on management's current views and assumptions and involve known and unknown risks that could cause actual results, performance or events to differ materially from those expressed or implied by those statements. These risks include but are not limited to risks arising from uncertainties as to gross domestic product, related market demand, global production capacity, tariffs, cyclicality in the industries that purchase steel products, and other factors beyond Ternium's control.
About Ternium
Ternium is a leading steel producer in the Americas, providing advanced steel products to a wide range of manufacturing industries and the construction sector. We invest in low carbon emissions steelmaking technologies to support the energy transition and the mobility of the future. We also support the development of our communities, especially through educational programs in Latin America. More information about Ternium is available at www.ternium.com.
Income Statement
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales |
|
|
3,933 |
|
|
|
3,876 |
|
|
|
4,778 |
|
Cost of sales |
|
|
(3,402 |
) |
|
|
(3,426 |
) |
|
|
(3,675 |
) |
Gross profit |
|
|
531 |
|
|
|
450 |
|
|
|
1,104 |
|
Selling, general and administrative expenses |
|
|
(396 |
) |
|
|
(373 |
) |
|
|
(431 |
) |
Other operating (expense) income, net |
|
|
(3 |
) |
|
|
(35 |
) |
|
|
2 |
|
Operating income |
|
|
132 |
|
|
|
42 |
|
|
|
675 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial expense |
|
|
(54 |
) |
|
|
(52 |
) |
|
|
(45 |
) |
Financial income |
|
|
68 |
|
|
|
71 |
|
|
|
83 |
|
Other financial income (expense), net |
|
|
49 |
|
|
|
(86 |
) |
|
|
(200 |
) |
Equity in earnings of non-consolidated companies |
|
|
16 |
|
|
|
18 |
|
|
|
20 |
|
Provision (charge) reversal for ongoing litigation related to the acquisition of a participation in Usiminas |
|
|
(45 |
) |
|
|
404 |
|
|
|
- |
|
Profit before income tax results |
|
|
165 |
|
|
|
397 |
|
|
|
532 |
|
Income tax expense |
|
|
(23 |
) |
|
|
(64 |
) |
|
|
(40 |
) |
Profit for the period |
|
|
142 |
|
|
|
333 |
|
|
|
491 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable to: |
|
|
|
|
|
|
|
|
|
|
|
|
Owners of the parent |
|
|
67 |
|
|
|
281 |
|
|
|
361 |
|
Non-controlling interest |
|
|
75 |
|
|
|
52 |
|
|
|
130 |
|
Profit for the period |
|
|
142 |
|
|
|
333 |
|
|
|
491 |
|
Statement of Financial Position
$ MILLION |
|
MARCH 31, 2025 |
|
|
DECEMBER 31, 2024 |
|
||
|
|
|
|
|
|
|
||
Property, plant and equipment, net |
|
|
8,803 |
|
|
|
8,381 |
|
Intangible assets, net |
|
|
1,019 |
|
|
|
1,022 |
|
Investments in non-consolidated companies |
|
|
509 |
|
|
|
469 |
|
Other investments |
|
|
0 |
|
|
|
23 |
|
Deferred tax assets |
|
|
1,298 |
|
|
|
1,194 |
|
Receivables, net |
|
|
1,030 |
|
|
|
961 |
|
Total non-current assets |
|
|
12,660 |
|
|
|
12,050 |
|
|
|
|
|
|
|
|
|
|
Receivables, net |
|
|
882 |
|
|
|
902 |
|
Derivative financial instruments |
|
|
8 |
|
|
|
4 |
|
Inventories, net |
|
|
4,591 |
|
|
|
4,751 |
|
Trade receivables, net |
|
|
1,812 |
|
|
|
1,562 |
|
Other investments |
|
|
1,924 |
|
|
|
2,160 |
|
Cash and cash equivalents |
|
|
1,831 |
|
|
|
1,691 |
|
Total current assets |
|
|
11,048 |
|
|
|
11,071 |
|
|
|
|
|
|
|
|
|
|
Non-current assets classified as held for sale |
|
|
8 |
|
|
|
7 |
|
|
|
|
|
|
|
|
|
|
Total assets |
|
|
23,716 |
|
|
|
23,129 |
|
Statement of Financial Position (cont.)
$ MILLION |
|
MARCH 31, 2025 |
|
|
DECEMBER 31, 2024 |
|
||
|
|
|
|
|
|
|
||
Capital and reserves attributable to the owners of the parent |
|
|
12,108 |
|
|
|
11,968 |
|
Non-controlling interest |
|
|
4,429 |
|
|
|
4,163 |
|
Total equity |
|
|
16,537 |
|
|
|
16,132 |
|
|
|
|
|
|
|
|
|
|
Provisions |
|
|
592 |
|
|
|
553 |
|
Deferred tax liabilities |
|
|
95 |
|
|
|
89 |
|
Non current tax liabilities |
|
|
25 |
|
|
|
21 |
|
Other liabilities |
|
|
783 |
|
|
|
766 |
|
Trade payables |
|
|
1 |
|
|
|
5 |
|
Lease liabilities |
|
|
171 |
|
|
|
164 |
|
Borrowings |
|
|
1,829 |
|
|
|
1,560 |
|
Total non-current liabilities |
|
|
3,496 |
|
|
|
3,158 |
|
|
|
|
|
|
|
|
|
|
Provision for ongoing litigation related to the acquisition of a participation in Usiminas |
|
|
455 |
|
|
|
410 |
|
Current income tax liabilities |
|
|
33 |
|
|
|
107 |
|
Other liabilities |
|
|
670 |
|
|
|
630 |
|
Trade payables |
|
|
1,836 |
|
|
|
1,926 |
|
Derivative financial instruments |
|
|
1 |
|
|
|
50 |
|
Lease liabilities |
|
|
47 |
|
|
|
46 |
|
Borrowings |
|
|
641 |
|
|
|
670 |
|
Total current liabilities |
|
|
3,683 |
|
|
|
3,839 |
|
|
|
|
|
|
|
|
|
|
Total liabilities |
|
|
7,179 |
|
|
|
6,997 |
|
|
|
|
|
|
|
|
|
|
Total equity and liabilities |
|
|
23,716 |
|
|
|
23,129 |
|
Statement of Cash Flows
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Result for the period |
|
|
142 |
|
|
|
333 |
|
|
|
491 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments for: |
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
184 |
|
|
|
189 |
|
|
|
171 |
|
Income tax accruals less payments |
|
|
(50 |
) |
|
|
23 |
|
|
|
(13 |
) |
Equity in earnings of non-consolidated companies |
|
|
(16 |
) |
|
|
(18 |
) |
|
|
(20 |
) |
Provision charge (reversal) for ongoing litigation related to the acquisition of a participation in Usiminas |
|
|
45 |
|
|
|
(404 |
) |
|
|
- |
|
Interest accruals less payments / receipts, net |
|
|
9 |
|
|
|
(7 |
) |
|
|
(2 |
) |
Changes in provisions |
|
|
3 |
|
|
|
10 |
|
|
|
(7 |
) |
Changes in working capital |
|
|
(55 |
) |
|
|
257 |
|
|
|
(266 |
) |
Net foreign exchange results and others |
|
|
(56 |
) |
|
|
56 |
|
|
|
120 |
|
Impairment of Las Encinas' mining assets |
|
|
- |
|
|
|
32 |
|
|
|
- |
|
Net cash provided by operating activities |
|
|
207 |
|
|
|
472 |
|
|
|
475 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditures and advances to suppliers for PP&E |
|
|
(518 |
) |
|
|
(561 |
) |
|
|
(449 |
) |
Decrease (increase) in other investments |
|
|
243 |
|
|
|
296 |
|
|
|
0 |
|
Proceeds from the sale of property, plant & equipment |
|
|
1 |
|
|
|
1 |
|
|
|
1 |
|
Dividends received from non-consolidated companies |
|
|
1 |
|
|
|
21 |
|
|
|
1 |
|
Net cash used in investing activities |
|
|
(273 |
) |
|
|
(243 |
) |
|
|
(447 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends paid in cash to company's shareholders |
|
|
- |
|
|
|
(177 |
) |
|
|
- |
|
Dividends paid in cash to non-controlling interest |
|
|
- |
|
|
|
(5 |
) |
|
|
- |
|
Finance lease payments |
|
|
(20 |
) |
|
|
(15 |
) |
|
|
(18 |
) |
Proceeds from borrowings |
|
|
573 |
|
|
|
272 |
|
|
|
131 |
|
Repayments of borrowings |
|
|
(385 |
) |
|
|
(139 |
) |
|
|
(166 |
) |
Net cash provided by (used in) financing activities |
|
|
167 |
|
|
|
(63 |
) |
|
|
(53 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase (decrease) in cash and cash equivalents |
|
|
101 |
|
|
|
165 |
|
|
|
(24 |
) |
Exhibit I - Alternative Performance Measures
These non-IFRS measures should not be considered in isolation of, or as a substitute for, measures of performance prepared in accordance with IFRS. These non-IFRS measures do not have a standardized meaning under IFRS and, therefore, may not correspond to similar non-IFRS financial measures reported by other companies.
Adjusted EBITDA
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
142 |
|
|
|
333 |
|
|
|
491 |
|
Adjusted to exclude: |
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
184 |
|
|
|
189 |
|
|
|
171 |
|
Income tax results |
|
|
23 |
|
|
|
64 |
|
|
|
40 |
|
Net financial results |
|
|
(63 |
) |
|
|
67 |
|
|
|
163 |
|
Equity in earnings of non-consolidated companies |
|
|
(16 |
) |
|
|
(18 |
) |
|
|
(20 |
) |
Provision charge (reversal) for ongoing litigation related to the acquisition of a participation in Usiminas |
|
|
45 |
|
|
|
(404 |
) |
|
|
- |
|
Impairment of Las Encinas' mining assets |
|
|
- |
|
|
|
32 |
|
|
|
- |
|
Adjusted to include: |
|
|
|
|
|
|
|
|
|
|
|
|
Proportional EBITDA in Unigal (70% participation) |
|
|
6 |
|
|
|
6 |
|
|
|
9 |
|
Adjusted EBITDA |
|
|
322 |
|
|
|
270 |
|
|
|
855 |
|
Divided by: net sales |
|
|
3,933 |
|
|
|
3,876 |
|
|
|
4,778 |
|
Adjusted EBITDA Margin (%) |
|
|
8 |
% |
|
|
7 |
% |
|
|
18 |
% |
Exhibit I - Alternative Performance Measures (cont.)
Cash Operating Income - Steel Segment
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Income - Management View (Note "Segment Information" to Ternium's Financial Statements as of the corresponding dates) |
|
|
244 |
|
|
|
308 |
|
|
|
593 |
|
Plus/Minus differences in cost of sales (IFRS) |
|
|
(116 |
) |
|
|
(259 |
) |
|
|
59 |
|
Excluding depreciation and amortization |
|
|
142 |
|
|
|
142 |
|
|
|
137 |
|
Including proportional EBITDA in Unigal (70% participation) |
|
|
6 |
|
|
|
6 |
|
|
|
9 |
|
Cash Operating Income |
|
|
276 |
|
|
|
197 |
|
|
|
798 |
|
Divided by: steel shipments (thousand tons) |
|
|
3,857 |
|
|
|
3,764 |
|
|
|
3,894 |
|
Cash Operating Income per Ton - Steel |
|
|
72 |
|
|
|
52 |
|
|
|
205 |
|
Divided by: steel net sales |
|
|
3,801 |
|
|
|
3,767 |
|
|
|
4,690 |
|
Cash Operating Income Margin - Steel (%) |
|
|
7 |
% |
|
|
5 |
% |
|
|
17 |
% |
Cash Operating Income - Mining Segment
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Result - Management View (Note "Segment Information" to Ternium's Financial Statements as of the corresponding dates) |
|
|
(2 |
) |
|
|
(35 |
) |
|
|
(22 |
) |
Plus/minus differences in cost of sales (IFRS) |
|
|
17 |
|
|
|
15 |
|
|
|
54 |
|
Excluding depreciation and amortization |
|
|
42 |
|
|
|
47 |
|
|
|
34 |
|
Impairment of Las Encinas' mining assets |
|
|
- |
|
|
|
32 |
|
|
|
- |
|
Cash Operating Income |
|
|
57 |
|
|
|
60 |
|
|
|
66 |
|
Divided by: mining shipments (thousand tons) |
|
|
3,059 |
|
|
|
2,995 |
|
|
|
2,695 |
|
Cash Operating Income per Ton - Mining |
|
|
18 |
|
|
|
20 |
|
|
|
25 |
|
Divided by: mining net sales |
|
|
280 |
|
|
|
249 |
|
|
|
274 |
|
Cash Operating Income Margin - Mining (%) |
|
|
20 |
% |
|
|
24 |
% |
|
|
24 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Exhibit I - Alternative Performance Measures (cont.)
Adjusted Net Income
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
142 |
|
|
|
333 |
|
|
|
491 |
|
Excluding provision charge (reversal) for ongoing litigation related to the acquisition of a participation in Usiminas |
|
|
45 |
|
|
|
(404 |
) |
|
|
- |
|
Adjusted Net Income (Loss) |
|
|
188 |
|
|
|
(71 |
) |
|
|
491 |
|
Adjusted Equity Holders' Net Income and Adjusted Earnings per ADS
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity holders' net income |
|
|
67 |
|
|
|
281 |
|
|
|
361 |
|
Excluding provision charge (reversal) for ongoing litigation related to the acquisition of a participation in Usiminas |
|
|
41 |
|
|
|
(364 |
) |
|
|
- |
|
Adjusted Equity Holders' Net Income (Loss) |
|
|
108 |
|
|
|
(83 |
) |
|
|
361 |
|
Divided by: outstanding shares of common stock, net of treasury shares (expressed in million of ADS equivalent) |
|
|
196 |
|
|
|
196 |
|
|
|
196 |
|
Adjusted Earnings (Losses) per ADS ($) |
|
|
0.55 |
|
|
|
(0.42 |
) |
|
|
1.84 |
|
Free Cash Flow
$ MILLION |
|
|
1Q25 |
|
|
|
4Q24 |
|
|
|
1Q24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by operating activities |
|
|
207 |
|
|
|
472 |
|
|
|
475 |
|
Excluding capital expenditures and advances to suppliers for PP&E |
|
|
(518 |
) |
|
|
(561 |
) |
|
|
(449 |
) |
Free Cash Flow |
|
|
(311 |
) |
|
|
(90 |
) |
|
|
26 |
|
Exhibit I - Alternative Performance Measures (cont.)
Net Cash
$ BILLION |
|
MARCH 31, 2025 |
|
|
DECEMBER 31, 2024 |
|
|
MARCH 31, 2024 |
|
|||
|
|
|
|
|
|
|
|
|
|
|||
Cash and cash equivalents |
|
|
1.8 |
|
|
|
1.7 |
|
|
|
1.8 |
|
Plus: other investments (current and non-current) |
|
|
1.9 |
|
|
|
2.2 |
|
|
|
2.3 |
|
Less: borrowings (current and non-current) |
|
|
(2.5 |
) |
|
|
(2.2 |
) |
|
|
(2.1 |
) |
Net Cash |
|
|
1.3 |
|
|
|
1.6 |
|
|
|
2.0 |
|
Note: Ternium Argentina's consolidated position of cash and cash equivalents and other investments amounted to $1.1 billion as of March 31, 2025, $1.3 billion as of December 31, 2024 and $1.2 billion as of March 31, 2024.
Sebastián Martí
Ternium - Investor Relations
+1 (866) 890 0443
+54 (11) 4018 8389
www.ternium.com
SOURCE: Ternium S.A.
View the original press release on ACCESS Newswire