Brazilian miner and iron ore producer Vale has announced that its net profit in the first quarter decreased by 19.6% YoY & 17.8% QoQ to USD 4.45 billion. In the first quarter, Vale’s net revenues totaled USD 10.8 billion, decreasing by 17.5% QoQ & down by 13.6% YoY, while its adjusted EBITDA in the given quarter was USD 6.5 billion, down by 5.7% QoQ & 22.6% YoY. Q1 performance of Vale was impacted by lower sales volumes compared to the previous quarter. However, higher iron ore realized prices partially offset the adverse effect. The outlook is optimistic as the mining giant remains committed to its value-over-volume strategy and optimising costs, focusing on margin preservation.Despite seasonally lower sales volumes for iron ore fines and pellets, Vale managed to compensate it by higher realized prices which rose by USD 32 per tonne to USD 141.4 per tonne QoQ. Its Ferrous Minerals adjusted EBITDA totaled USD 5.8 billion in Q1 2022, down 9% QoQ.Vale also benefited from a gradual increase of steel production in China amid limited iron ore supply due to seasonal weather-related events. As a result, iron ore prices followed the steel production growth moving upwards in the first two months of the quarter. However, the war in Ukraine created additional challenges to external environment.