Annual Financial Results of Nexa Resources: Persistent Challenges

Nexa Resources S.A., a company based in Luxembourg, has disclosed its financial performance for the three and twelve-month periods ended on December 31, 2023. Despite an annual net loss of 289 million US dollars and a significant decrease in net revenues, the company reported an adjusted EBITDA of 391 million US dollars. CEO Ignacio Rosado highlights efforts to increase efficiency and major challenges such as the development of the Aripuanã mine, now well underway. Nevertheless, expectations for 2024 remain cautious, mainly due to anticipated challenges in the zinc market.

On the operational front, an increase in zinc production and production costs within forecasts have been noted. Regarding ESG commitments, Nexa emphasizes its ambitions for carbon reduction and active participation within local communities. However, financial challenges persist, illustrated by an increase in net debt and a decrease in cash position compared to the previous year.

The results underline the company's efforts to navigate through an uncertain economic and geopolitical environment, while continuing its sustainable development and operational efficiency goals. The company remains focused on generating positive free cash flows, while evaluating the capital allocation framework in the context of fluctuating zinc prices.