CSN Mineração (CMIN3) Q4 2025 earnings summary

Executive summary

• Achieved record production and sales volumes in 2025, surpassing annual guidance by 4.6% and reaching over 45 million tons for the first time, with operational excellence and logistics improvements driving results.

• Fourth quarter 2025 marked the best Q4 ever for production and sales, with net income rising 72% sequentially to R$1.2 billion, though full-year net income declined 63.6% year-over-year to R$1.65 billion due to adverse FX impacts.

• Adjusted EBITDA for 2025 was R$6.448 billion, up 9.4% year-over-year, with a margin of 42.1%.

• Since IPO in 2021, sales volume CAGR is 8.4%, reflecting sustained operational and logistics improvements.

Financial highlights

• Net revenue for 2025 was R$15.3 billion, up 17.9% year-over-year, driven by record volumes and higher unit net revenue.

• Cost of goods sold rose over 22% to R$6.9 billion, reflecting higher sales and third-party purchases.

• Adjusted EBITDA in 4Q25 was R$1.76 billion, with a margin of 42.9%, down sequentially due to seasonality.

• Adjusted free cash flow in 4Q25 was R$253 million, down 10% sequentially due to seasonality and higher CapEx.

• Capex totaled R$2.37 billion in 2025, up 32% year-over-year, mainly for expansion and operational efficiency projects.

Outlook and guidance

• 2025 production and purchase guidance (42–43.5 Mt) was exceeded by 4.6%, reaching 45.5 Mt; 2026 guidance is 45–47 Mt, with similar third-party ore volumes expected.

• C1 cash cost for 2025 was US$21.5/t, at the lower end of guidance; 2026 cost guidance is $22–$23.5/t, slightly higher due to transportation and diesel costs.

• Optimism for continued improvements in production, shipments, and cost control in 2026.