Recent Updates — NEXA
Nexa Resources reported a third-quarter net loss of US$47 million, driven by a US$124 million non-cash impairment charge on Brazilian smelting assets and a US$51 million silver-streaming remeasurement adjustment. Excluding these items, adjusted net income was US$144 million, or US$0.87 per share. Adjusted EBITDA rose 62% year-over-year to US$301 million, supported by higher zinc prices and improved smelting volumes at Cajamarquilla following its recovery from a May fire. Mining production increased 7% quarter-over-quarter to 85kt of zinc. The company revised its full-year capital expenditure guidance upward by 10% to US$420 million to accelerate mine development and project investments. Nexa Resources is an integrated mining and smelting company focused on zinc, copper, lead, silver, and gold production in Brazil and Peru.
Controlling shareholder Votorantim S.A. entered into a definitive agreement with Boliden AB to transfer its approximately 64.68% stake in Nexa Resources through a share-for-share exchange, receiving 0.250 newly issued Boliden common shares for each Nexa common share held. The transaction is subject to customary conditions precedent, including shareholder and regulatory approvals, and is expected to close during the first quarter of 2027. Upon completion, Boliden will become the controlling shareholder, while Votorantim is expected to hold approximately 7% of Boliden's total shares. Boliden has agreed to commence a voluntary cash tender offer for remaining minority Nexa shares and mandatory tender offers for certain Peruvian subsidiaries following closing. The company operates large-scale polymetallic mines in Peru and Brazil, as well as zinc smelters.
Nexa Resources reported second quarter 2026 net income of US$98 million and adjusted EBITDA of US$286 million, a 78% year-over-year increase driven by higher zinc prices and operational normalization in Peru. Net leverage improved to 1.40x from 2.28x a year ago. The company announced a share premium reimbursement of US$0.132136 per share, payable on August 11, 2026, to shareholders of record as of July 28, 2026. Additionally, S&P placed Nexa's BBB- rating on CreditWatch with negative implications following discussions between Votorantim and Boliden regarding a potential acquisition of Votorantim's controlling stake in the company. Nexa Resources operates in the mining industry, producing zinc, copper, lead, silver, and gold.
Nexa Resources S.A. filed its unaudited condensed consolidated interim financial statements for the six-month period ended June 30, 2026. The company reported net revenues of $1,796.3 million and net income attributable to shareholders of $157.9 million, compared to $12.9 million in the prior year period. Basic earnings per share increased to $1.19 from $0.10. Operating cash flow improved significantly to $55.7 million from a negative $83.3 million previously. The company also announced a share premium reimbursement of USD 0.132136 per common share, approved on June 25, 2026, with payment scheduled for August 11, 2026, to shareholders of record as of July 28, 2026. Additionally, Nexa Resources operates large-scale polymetallic mines and smelters in Peru and Brazil.