Usiminas is a Brazilian company with an integrated business model operating in the mining, steel and steel processing sectors. Its operations are structured in three main business units that complement each other. The Mining unit is responsible for the extraction and sale of iron ore, providing raw materials to the company's own mills and selling the surplus to domestic and foreign markets. The main unit, Iron and Steel, focuses on the production of flat steels, such as sheets and coils, that serve various industrial sectors, including automotive and capital goods. Finally, the Steel Transformation unit adds value to the steel produced, offering capital goods distribution, processing, and manufacturing services. This vertical structure allows Usiminas to operate throughout the production chain, from raw materials to higher value-added products.
How many years of EBITDA are required to pay off the company's net debt considering the lease agreements, according to the official accounting standard IFRS16. As a market consensus, a value of up to 3 years of leverage is accepted for most companies.
How much the company's debt represents in % in relation to its equity. As a market consensus, a value less than or equal to 1 is accepted, above that leverage can end up hurting the final result at some point.
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