Brazilian mining company Vale has reported net income attributable to its shareholders of $2.77bn for Q2 2024, almost tripling its profit from the prior year figure of $892m.

In Q1 2024, the company’s attributable net income was $1.68bn.

The profit surge in Q2 2024 has been attributed to a spike in iron ore sales, which increased 25% from the previous quarter and 7% from Q2 2023.

Vale’s iron ore shipments saw notable growth, increasing by 5.4 million tonnes (mt) from a year ago and by 16mt from Q1 2024. This was due to record production for a second quarter since 2018 and sales from inventory.

Net operating revenues in Q2 2024 reached $9.2bn, down from $9.67bn in the same period of 2023.

Adjusted EBITDA for Q2 2024 remained stable at $3.99bn, matching the previous year’s figure and marking a 16% increase from the preceding quarter.

The company’s net debt at the end of the quarter stood at $8.59bn.

Capital expenditure in the second quarter amounted to $1.3bn, a $100m increase year-on-year, aligning with the company’s annual guidance.

In the first half year (H1) that ended on 30 June 2024, Vale’s attributable net income was $4.45bn, a 63% jump from $2.73bn a year earlier.

Net operating revenues in H1 2024 were $18.37bn, a 2% rise compared with $18.1bn in H1 2023.

Vale CEO Eduardo Bartolomeo said: “In Iron Ore Solutions, we achieved record-high second quarter production since 2018, driven mainly by consistent performance at S11D.

“As part of our strategic objective to become the supplier of choice for low-carbon steel, we are advancing on key growth projects such as Vargem Grande and Capanema, which together will add 30mt of capacity in the next 12 months.

“Additionally, we are pleased to announce a partnership within our Mega Hubs strategy, further strengthening our market position as a competitive direct reduction products supplier.”