Gerdau's net profit decreases

Brazilian company Gerdau said in a statement that its quarterly adjusted net income fell year-on-year as lower global steel prices and rising production costs hit the industry.

Gerdau's net income for this quarter amounted to 3.02 billion reals ($603 million), down 33.7% year-on-year.

Peers such as Usiminas and Companhia Siderurgica Nacional reported weaker quarterly results. Analysts stressed that rising costs put pressure on Brazilian steelmakers' results in the quarter to September.

In a securities report, Gerdau said steel sales fell 10% over the period to 2.93 million tons, while net income was virtually unchanged from last year at R$21.15 billion, in line with analysts' estimates.