sidpr1q17_6k.htm - Generated by SEC Publisher for SEC Filing
 
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 

 
FORM 6-K
 
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of the
Securities Exchange Act of 1934
 
For the month of December, 2017
Commission File Number 1-14732
 

 
COMPANHIA SIDERÚRGICA NACIONAL
(Exact name of registrant as specified in its charter)
 
National Steel Company
(Translation of Registrant's name into English)
 
Av. Brigadeiro Faria Lima 3400, 20º andar
São Paulo, SP, Brazil
04538-132
(Address of principal executive office)
 

Indicate by check mark whether the registrant files or will file annual reports
under cover Form 20-F or Form 40-F. 
Form 20-F ___X___ Form 40-F _______

 Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.  

Yes _______ No ___X____


 

São Paulo, December 22, 2017


1Q17 Earnings Release

Companhia Siderúrgica Nacional (CSN) (BM3 S.A. – BOLSA BRASIL BALCÃO: CSNA3) (NYSE: SID) discloses results for the first quarter of 2017 (1Q17). The information disclosed in Brazilian Reais and prepared in accordance with International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB); and also in accordance with accounting practices adopted in Brazil and fully convergent with international accounting standards, issued by the Accounting Pronouncements Committee (CPC) and referenced by the Brazilian Securities and Exchange Commission (CVM), pursuant to CVM Instruction 485 of 09/01/2010. The below text encompasses the Company's consolidated results for the first quarter of 2017 (1Q17) and comparisons are for the fourth quarter of 2016 (4Q16) and for the first quarter of 2016 (1Q16) without Metallic, unless otherwise specified. The Real/U.S. Dollar exchange rate was R$3.1684 on March 31, 2017 and R$3.2591 on December 31, 2016.

 

Operating and Financial Highlights

 

·                    

EBITDA totaled R$1,333 million, 82% up on 1Q16, accompanied by an EBITDA margin of 28.7%, 11 p.p. higher than in the previous year.

·                    

Leverage declined by 3.2x, from 8.7x on 1Q16 to 5.5x on 1Q17.

·                    

Steel EBITDA came to R$610 million, 12% higher on 4Q16, while apparent steel consumption climbed 5.0% according to the Brazilian Steel Institute (IABr).

 

Highlights 1Q16 4Q16 1Q17 Change
1Q17 x 4Q16  1Q17 x 1Q16 
Steel Sales (thousand t)  1,248  1,187  1,194  1%  -4% 
- Domestic Market  52%  62%  52%  -10%  0% 
- Overseas Subsidiaries  42%  34%  41%  7%  -1% 
- Exports  6%  4%  8%  4%  2% 
Iron Ore Sales (thousand t)1  8,295  9,191  7,244  -21%  -13% 
- Domestic Market  13%  14%  19%  5%  6% 
- Exports  87%  86%  81%  -5%  -6% 
Consolidated Results (R$ Million)           
Net Revenue  3,997  4,519  4,412  -2%  10% 
Gross Profit  923  1,349  1,318  -2%  43% 
Adjusted EBITDA  733  1,249  1,333  7%  82% 
Adjusted Net Debt  26,654  25,831  25,477  -1%  -4% 
Adjusted Cash Position  6,472  5,762  5,146  -11%  -20% 
Net Debt / Adjusted EBITDA  8.7x  6.3x  5.5x  (0,89x)  (3.22x) 

¹ Adjusted EBITDA is calculated based on net income/loss, before depreciation and amortization, income taxes, the net financial result, results from investees, and other operating income (expenses) and includes the proportional share of the EBITDA of the jointly-owned investees MRS Logística and CBSI, as well as the Company’s 60% interest in Namisa, 33.27% in MRS and 50% in CBSI until November 2015 and stakes of 100% in Congonhas Minérios, 37.27% in MRS and 50% in CBSI as of December 2015.
² Adjusted Net Debt and Adjusted Cash and Cash Equivalents included 33.27% of the stake in MRS, 60% of the interest in Namisa and 50% of the stake in CBSI until November 2015. As of December 2015, they included 100% of Congonhas Minérios, 32.27% of MRS and 50% of CBSI, excluding Forfaiting and drawee risk operations.

For further information, please visit our website: www.csn.com.br/ri


 

CSN’s Consolidated Results

Financial Result (R$ million)  1Q16  4Q16  1Q17 
Financial Result - IFRS  (885)  (677)  (497) 
Financial Revenue  243  115  103 
Financial Expenses  (1,128)  (792)  (601) 
Financial Expenses (ex-exchange variation)  (821)  (813)  (787) 
Result with Exchange Variation  (307)  21  186 
Monetary and Exchange Variation  936  5  308 
Hedge Accounting  (554)  17  (135) 
Derivative Result  (689)  (2)  13 

 

Share of Profit (Loss) of Investees (R$ million) 1Q16 4Q16 1Q17 Change
1Q17 x 4Q16 1Q17 x 1Q16 
MRS Logística  61  20  39  91%  (37%) 
CBSI  1  1  -  -  - 
TLSA  (7)  (35)  (4)  (88%)  (39%) 
Arvedi Metalfer BR  -  -  (1)  -  - 
Eliminations  (11)  (9)  (13)  45%  26% 
Share of Profit (Loss) of Investees  46  (24)  21  -  (55%) 

 

 

For further information, please visit our website: www.csn.com.br/ri

2


 


Adjusted EBITDA (R$ million)

1Q16

4Q16

1Q17 Change
 1Q17 x s4Q16 1Q17 x 1Q16
Profit (Loss) for the Period  (777)  (56)  118  -  - 
(*) Result of Discontinued Operations  -  3  -  -  - 
(-) Depreciation  309  356  390  10%  26% 
(+) Income Tax and Social Contribution  113  2  137  -  21% 
(-) Net Financial Result  897  677  497  (27%)  (45%) 
EBITDA (CVM Instruction 527)  542  982  1,142  (16%)  111% 
(+) Other Operating Income / Expenses  126  114  99  (13%)  (21%) 
(+) Share of Profit (Loss) of Investees  (46)  24  (21)  -  (54%) 
(-) Proportionate EBITDA of Jointly-Owned Subsidiaries   110 129  113  (13%)  3% 
Adjusted EBITDA   733 1,249  1,333  7%  82% 
¹The Company discloses adjusted EBITDA excluding interests in investments operating income (expenses) in the belief that these items should not be considered when calculating recurring operating cash flow.

 

¹The adjusted EBITDA margin is calculated as the ratio between adjusted EBITDA and adjusted net revenue, which considered the stakes of 100% in CSN

Mineração, 37.27% in MRS and 50% in CBSI.

Debt

The adjusted amounts of EBITDA, debt and cash included the stakes of 100% in CSN Mineração, 37.27% in MRS and 50% in CBSI as of December 2015, as well as financial investments used as collateral for exchange operations on the B3 S.A. – BOLSA BRASIL BALCÃO. On March 31, 2017, consolidated net debt totaled R$25,477 million, while the net debt/EBITDA ratio, calculated based on LTM adjusted EBITDA, stood at 5.5x.

 

For further information, please visit our website: www.csn.com.br/ri

3


 


Foreign Exchange Exposure

The FX exposure of our consolidated balance sheet on March 31, 2017 was US$ 603 million, ex bond as shown in the table below.

The hedge accounting adopted by CSN correlates projected export inflows in dollars with part of the scheduled debt payments in the same currency. Therefore, the exchange variation of the dollar-denominated debt is temporarily booked under shareholders’ equity, being recorded in the income statement when dollar revenues from exports are received.

Foreign Exchange Exposure 

IFRS

(US$ million) 

12/31/2016    3/31/2017 

Cash 

914    1,091 

Accounts Receivable 

373    331 

Total Assets 

1,290    1,425 

Borrowings and Financing 

(4,373)    (4,327) 

Suppliers 

(97)    (115) 

Other Liabilities 

(18)    (15) 

Total Liabilities 

(4,488)    (4,458) 

Foreign Exchange Exposure 

(3,198)    (3,032) 

Notional Amount of Derivatives Contracted, Net 

-    - 

Cash Flow Hedge Accounting 

1,458    1,429 

Net Foreign Exchange Exposure 

(1,740)    (1,603) 

Perpetual Bonds 

1,000    1,000 

Net Foreign Exchange Exposure excluding Perpetual Bonds 

(740)    (603) 

 

For further information, please visit our website: www.csn.com.br/ri

4


 


Capex

CSN invested R$189 million in 1Q17, 58% less of 4Q16.

Capex (R$ million) 

1Q16  4Q16  1Q17 

Steel 

119  208  92 

Mining 

62  78  59 

Cement 

139  135  24 

Logistics 

10  23  13 

Other 

-  8  - 

Total Capex - IFRS 

330  452  189 

 

Working Capital

The working capital invested in the Company’s business totaled R$3,031 million in 1Q17, R$161 million more than in 4Q16, chiefly due to the R$171 million increase in inventories. On a same comparison basis, the average receivable period down on 2 days, while payment periods and inventory turnover increased by 5 days and 10 days, respectively.

To calculate working capital, CSN adjusts its assets and liabilities as demonstrated below:

Working Capital (R$ Million)

1Q16 4Q16 1Q17 Change
1Q17 x 4Q16  1Q17 x 1Q16 

Assets 

5,573  5,210  5,526  316  -47 

Accounts Receivable 

1,689  1,905  1,849  -57  160 

Inventories Turnover 

3,587  3,251  3,562  311  -24 

Advances to Taxes 

298  54  115  60  -183 

Liabilities 

2,266  2,340  2,495  155  229 

Suppliers 

1,543  1,763  1,934  171  392 

Salaries and Social Contribution 

244  254  252  -2  8 

Taxes Payable 

412  232  190  -41  -222 

Advances from Clients 

67  91  119  28  52 

Working Capital 

3,307  2,870  3,031  161  -276 
 

Turnover Ratio (days)

1Q16 4Q16 1Q17 Change
1Q17 x 4Q16  1Q17 x 1Q16 

Receivables 

33  35  33  -2  0 

Supplier Payment 

46  51  56  5  10 

Investory Turnover 

106  94  104  10  -2 

Cash Conversion Cycle 

93  78  81  3  -12 

 

For further information, please visit our website: www.csn.com.br/ri

5


 

Results by Segment

The Company maintains integrated operations in five business segments: Steel, Mining, Logistics, Cement and Energy. 

The main assets and/or companies comprising each segment are presented below:

Notes: As of 2013, the Company ceased the proportional consolidation of its jointly-owned subsidiaries Namisa, MRS and CBSI. For the purpose of preparing and presenting the information by business segment, Management opted to maintain the proportional consolidation of its jointly-owned subsidiaries, in line with historical data. In the reconciliation of CSN’s consolidated results, these companies’ results are eliminated in the “Corporate Expenses/Elimination” column.

Since the end of 2015, after the combination of CSN’s mining assets (Casa de Pedra, Namisa and Tecar), the consolidated results have included all the data related to this new company.


For further information, please visit our website: www.csn.com.br/ri

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1Q17 Result
(R$ million) 

Steel Mining Port
Logistics
Railway
Logistics
Cement
Energy
Corporate
Expenses/Elimination
Consolidated

Net Revenue 

3,071  1,174  55  323  126  90  (428)  4,412 

Domestic Market 

1,789  190  55  323  126  90  (584)  1,990 

Exports 

1,283  984  -  -  -  -  156  2,422 

Cost of Goods and Services 

               

 

(2,395)  (636)  (37)  (280)  (130)  (69)  454  (3,093) 

Sold 

               

Gross Profit 

677  538  18  43  (4)  21  25  1,318 

S&A expenses 

(235)  (40)  (7)  (24)  (19)  (7)  (156)  (488) 

Depreciation 

169  123  3  104  35  4  (48)  390 

Proportionate EBITDA of 

               

 

-  -  -  -  -  -  113  113 

Jointly-Owned Subsidiaries 

               

Adjusted EBITDA 

610  620  14  123  12  19  (65)  1,333 
 
 

4Q16 Result
(R$ million) 

Steel Mining Port
Logistics
Railway
Logistics
Cement Energy Corporate
Expenses/Elimination
Consolidated
Net Revenue  2,962  1,317  62  324  128  67  (341)  4,519 
Domestic Market  1,979  168  62  324  128  67  (570)  2,159 
Exports  982  1,149  -  -  -  -  228  2,359 
Cost of Goods and Services                 
  (2,334)  (797)  (34)  (237)  (133)  (48)  413  (3,170) 
Sold                 
Gross Profit  628  521  28  87  (5)  19  72  1,349 
S&A expenses  (262)  (133)  (6)  (9)  (20)  (7)  (148)  (585) 
Depreciation  179  124  3  58  28  4  (41)  356 
Proportionate EBITDA of                 
  -  -  -  -  -  -  129  129 
Jointly-Owned Subsidiaries                 
Adjusted EBITDA  545  511  26  137  2  17  12  1,249 

 

Steel

According to the World Steel Association (WSA), global crude steel production totaled 410 billion tonnes in the first quarter of 2017, 5.7% more than in 1Q16. According to the Brazilian Steel Institute (IABr), domestic crude steel production came to 8.2 million tonnes, 10.9% up. Domestic flat rolled steel production totaled 5.4 million tonnes, 6.9% up on 1Q16, while apparent consumption moved up by 5.0%, to 4.6 million tonnes, with domestic sales of 4.0 million tonnes and imports of 637,000 tonnes. Exports totaled 3.8 million tonnes, 17.4% more than in the same period last year. According

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to the Brazilian Steel Distributors’ Association (INDA), 1Q17 steel purchases sales remain flat, while sales fell 8.7%, totaling 759,600 tonnes and 708,600 tonnes, respectively. Inventories stood at 951,500 tonnes at the close of 1Q17, 3.6% more than in the previous quarter while inventory turnover fell to 3.7 months.

Automotive

According to the Auto Manufacturers’ Association (ANFAVEA), vehicle production totaled 610 million units in 1Q17, 24% up on 1Q16. In the same period, new car, light commercial vehicle, truck and bus licensing fell by 1.9% to 472,000 units. The association expects an increase of 4.0% in vehicle licensing in 2017, with the sale of 2.13 million units and production of 2.41 million units, 11.9% more than in 2016.

Construction

According to the Construction Material Manufacturers’ Association (ABRAMAT), sales of building materials fell 6.3% between 1Q16 and 1Q17.

Home Appliances

According to the Brazilian Institute of Geography and Statistics (IBGE), home appliance production increased 4.5% in the first quarter over the same period last year.

Results from CSN’s Steel Operation

  • Total sales came to 1,194,000 tonnes in 1Q17, 1% up quarter-on-quarter, broken down as follows: 52% from the domestic market, 40% from our subsidiaries abroad and 8% from exports.
  • In 1Q17, CSN’s domestic steel sales came to 617,000 tonnes, 16% less than in 4Q16. Of this total, 566,000 tonnes corresponded to flat steel and 51,000 tonnes to long steel.
  • First-quarter export sales amounted to 577,000 tonnes, 28% up on the 4Q16 figure. Of this total, direct exports reached 92,000 tonnes, the overseas subsidiaries sold 485,000 tonnes, 157,000 LLC, 228,000 by SWT and 100,000 by Lusosider.
  • In the first quarter, CSN maintained its high share of coated products as a percentage of total sales volume, following the strategy of adding more value to its product mix. Sales of coated products such as galvanized items and tin plate accounted for 59% of flat steel sales, 1.4% up on 4Q16, including all the markets where the Company operates. The export market was one of the quarter's highlights, with the share of coated products remaining high, at 87% in 1Q17.
  • Net revenue totaled R$3,071 million in 1Q17, 4% up on 4T16, mostly due to higher steel sales volume and the price increase observed this quarter. In the first quarter, average net revenue per tonne stood at R$2,522, 3% higher than in 4Q16.
  • COGS moved up by 3% over the previous quarter, to R$2,395 million.

For further information, please visit our website: www.csn.com.br/ri

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  • Company’s production cost amounted to R$1,865 million in 1Q17, 4% more than in 4Q16, particularly due to the increase in coal prices.
  • The slab production cost reached R$1,367/t, 16% up on 4Q16.
  • Adjusted EBITDA totaled R$610 million in the first quarter, increasing by 12% over the R$545 million posted in 4Q16. The adjusted EBITDA margin increased 1.5 p.p. over the previous quarter, to 19.9%.

Flat Steel Production
(Thousand tonnes)

1Q16 4Q16 1Q17 Change
1Q17 x 4Q16   1Q17 x 1Q16 
Total Slabs (UPV + Third Parties)  836  1,058  999  (6%)  20% 
Crude Steel Production  835  942  982  4%  18% 
Third Parties Slabs  1  116  18  -  - 
Total Rolled Products  746  952  874  (8%)  17% 
Total Long Steel  38  54  53  -  39% 

 


Mining

Demand for steel in China remained high, influenced by heavy investments in infrastructure and the strong construction activity in the first quarter. Given this scenario, rising steel prices pushed up iron ore prices, which came to more than US$95.00/dmt in February and averaged US$85.64/dmt (Platts, Fe62%, N. China) at the end of 1Q17, 21% up quarter-on-quarter.

 

For further information, please visit our website: www.csn.com.br/ri

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In the first quarter, maritime freight was positively impacted by the upturn in crude prices and, consequently, in ship fuel. As a result, Route BCI-C3 (Tubarão-Qingdao) averaged US$13.03/t, 10% up on 4Q16.

Results from CSN’s Mining Operation

Production Volume and Mining Sales
(thousand t) 

1Q16 4Q16 1Q17 Change 
1Q17 x 4Q16  1Q17 x 1Q16 
Iron Ore Production¹  7,326  7,758  7,858  1%  7% 
Third Parties Purchase  617  609  137  (78%)  (78%) 
Total Production + Purchase  7,943  8,367  7,995  (4%)  1% 
 
UPV Sale  1,047  1,264  1,347  7%  29% 
Third Parties Sales Volume  7,248  7,927  5,897  (26%)  (19%) 
Total Sales  8,295  9,191  7,244  (21%)  (13%) 
¹ Production and sales volumes included the stakes of 100% in NAMISA until November 2015 and 100% in Congonhas in December 2015. 
2 As of December 2015, Congonhas Minérios began selling iron ore to CSN’s President Vargas Plant (UPV).

 

The table above shows the breakdown of CSN's price of modality, CFR+FOB, by quarter, as of 2Q16.

Logistics

Railway Logistics: first-quarter net revenue totaled R$323 million, generating EBITDA of R$123 million and an EBITDA margin of 38%.

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Port Logistics: in the first quarter, Sepetiba Tecon handled 275,000 tonnes of steel products, in addition to 5,000 tonnes of general cargo and approximately 30,000 containers. First-quarter net revenue came to R$55 million, accompanied by EBITDA of R$14 million and an EBITDA margin of 26%.

Sepetiba TECON Highlights

1Q1 4Q16 1Q17 Change
1Q17 x 4Q16   1Q17x 1Q16 

Container Volume (thousand units) 

39  35  30  (15%)  (23%) 

Steel Product Volume (thousand t) 

143  338  275  (19%)  92% 

General Cargo Volume (thousand t) 

12  7  5  (27%)  (58%) 

Cement

According to IBGE’s Monthly Survey of Industry (PIM-PF), Brazil’s cement production in the last twelve months recorded year-on-year reduction of 9.3%, in line with the civil construction segment’s performance.

Preliminary figures from the Cement Industry Association (SNIC) indicate local cement sales of 13 million tonnes in 1Q17, 8.2% less than in the previous year. The SNIC expects 2017 cement sales to fall by between 5% and 7% over 2016.

Results from CSN’s Cement Operation

In 1Q17, cement sales amounted to 821,000 tonnes, 3% more than in 4Q16, while net revenue came to R$126 million EBITDA totaled R$12 million, with an EBITDA margin of 10%.

Cement Highlights
(thousand t) 

1Q16 4Q16 1Q17 Change
1Q17 x 4Q16   1Q17x 1Q16 
 

Total Production 

580  801  817   2%  41% 
 

Total Sales 

571  799  821   3% 44% 

 

Energy

According to the Energy Research Company (EPE), Brazilian electricity consumption until March 2017 recorded a year-on-year increase of 2.0%, to 118GWh. Consumption in the industrial and commercial segments grew by 1.1% and 0.5%, respectively.

Results from CSN’s Energy Operation

In 1Q17, net revenue from energy operations totaled R$90 million, EBITDA stood at R$19 million and the EBITDA margin was 21%.

 

For further information, please visit our website: www.csn.com.br/ri

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Capital Market

CSN’s shares appreciated by 6% in 1Q17, while the Ibovespa increased by 7% in the same period. Daily traded volume on the B3 S.A. – BOLSA BRASIL BALCÃO averaged R$51.8 million. On the New York Stock Exchange (NYSE), CSN’s American Depositary Receipts (ADRs) appreciated by 15%, versus the Dow Jones’ 1% upturn. On the NYSE, daily traded volume of CSN’s ADRs averaged US$8.3 million.

  1Q17 
Number of shares in thousand  1,387,524 
Market Cap   
Closing price (R$/share)  11.47 
Closing price (US$/ADR)  3.70 
Market Capitalization (R$ million)  15,915 
Market Capitalization (US$ million)  5,134 
Total return including dividends and interest on equity   
CSNA3  6% 
SID  15% 
Ibovespa  7% 
Dow Jones  1% 
Volume   
Daily Average (thousand shares)  4,555 
Daily Average (R$ thousand)  51,755 
Daily Average (thousand ADRs)  2,302 
Daily Average (US$ thousand)  8,346 
Source: Bloomberg

 

Webcast 1Q17 Earnings Presentation  Investor Relations Team 
Conference Call in Portuguese with Simultaneous Translation  Diretor Executivo David Salama 
into English  Leo Shinohara (leonardo.shinohara@csn.com.br) 
October 31, 2017 Tuesday  Jose Henrique Triques (jose.triques@csn.com.br) 
12:30 p.m. (US EDT)  Carla Fernandes (carla.fernandes@csn.com.br) 
02:30 p.m. (Brasília time)  Bruno Souza (bruno.souza@csn.com.br) 
Phone: +1 (516) 300-1066   
Code: CSN   
Replay phone: +55 (11) 3127-4999   
Replay code: 42709759   
Conference ID: CSN   
Webcast: www.csn.com.br/ri   

 

Certain of the statements contained herein are forward-looking statements, which express or imply results, performance or events that are expected in the future. These include future results that may be implied by historical results and the
statements under ‘Outlook’. Actual results, performance or events may differ materially from those expressed or implied by the forward-looking statements as a result of several factors, such as the general and economic conditions in Brazil
and other countries, interest rate and exchange rate levels, protectionist measures in the U.S., Brazil and other countries, changes in laws and regulations and general competitive factors (on a global, regional or national basis). 

 

For further information, please visit our website: www.csn.com.br/ri

12


 


 

INCOME STATEMENT
CONSOLIDATED – Corporate Law (In thousand of R$)
1Q16  4Q16  1Q17 
Net Revenues  3,997,286  4,518,596  4,411,596 
Domestic Market  1,701,293  2,159,265  1,989,552 
Foreign Market  2,295,993  2,359,331  2,422,044 
Cost of Goods Sold (COGS)  (3,073,661)  (3,169,630)  (3,093,474) 
COGS, excluding depreciation  (2,770,932)  (2,833,972)  (2,711,868) 
Depreciation allocated to COGS  (302,729)  (335,658)  (381,606) 
Gross Profit  923,625  1,348,966  1,318,122 
Gross Margin (%)  23%  30%  30% 
Selling Expenses  (447,175)  (446,470)  (367,575) 
General and Administrative Expenses  (156,408)  (118,400)  (112,398) 
Depreciation allocated to SG&A  (5,866)  (20,173)  (8,278) 
Other operation income (expense), net  (138,823)  (114,226)  (99,189) 
Share of profits (losses) of investees  45,624  (23,555)  21,105 
Operational Income before Financial Results  220,977  626,142  751,787 
Net Financial Results  (884,599)  (677,171)  (497,224) 
Income before social contribution and income taxes  (663,622)  (51,029)  254,563 
Income Tax and Social Contribution  (113,408)  (1,929)  (136,948) 
Continued operations, net  (777,030)  (52,958)  117,615 
Discontinued Operations, Net  333  (2,775)    
Profit/(Loss) for the period  (776,697)  (55,733)  117,615 

For further information, please visit our website: www.csn.com.br/ri

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BALANCE SHEET
Company Corporate Law (In Thousand of R$)
  Consolidated 
  12/31/2016  03/31/2017 
Current assets  12,444,918  12,149,265 
Cash and cash equivalents  5,631,553  5,050,484 
Trade receivables  1,997,216  1,931,081 
Inventories  3,964,136  4,259,964 
Other current assets  852,013  907,736 
Non-current assets  31,708,705  31,628,900 
Long-term receivables  1,745,971  1,791,202 
Investments measured at amortized cost  4,568,451  4,652,783 
Property, plant and equipment  18,135,879  17,921,071 
Intangible assets  7,258,404  7,263,844 
Total assets  44,153,623  43,778,165 
Current liabilities  5,496,683  5,407,953 
Payroll and related taxes  253,837  251,521 
Suppliers  1,763,206  1,934,358 
Taxes payable  231,861  177,488 
Borrowings and financing  2,117,448  1,837,999 
Other payables  1,021,724  1,105,992 
Provision for tax, social security, labor and civil risks  108,607  100,595 
Non-current liabilities  31,272,419  30,700,275 
Borrowings and financing  28,323,570  27,688,594 
Deferred Income Tax and Social Contribution  1,046,897  1,084,701 
Other payables  131,137  128,301 
Provision for tax, social security, labor and civil risks  704,485  729,831 
Other provisions  1,066,330  1,068,848 
Shareholders’ equity  7,384,521  7,669,937 
Paid-in capital  4,540,000  4,540,000 
Capital reserves  30  30 
Acumulated Losses  (1,301,961)  (1,216,331) 
Statutory reserve  2,956,459  3,124,251 
Non-controlling interests  1,189,993  1,221,987 
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY  44,153,623  43,778,165 

For further information, please visit our website: www.csn.com.br/ri

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CASH FLOW STATEMENT
CONSOLIDATED - Corporate Law (In Thousand of R$)
  4Q16  1Q17 
Net cash generated by operating activities  501,798  (104,517) 
(Net Losses) / Net income attributable to controlling shareholders  (82,164)  85,630 
Loss for the period attributable to non-controlling interests  26,431  31,985 
Charges on borrowings and financing  698,075  670,722 
Depreciation, depletion and amortization  365,782  401,276 
Share of profits (losses) of investees  23,555  (21,105) 
Deferred income tax and social contribution  (73,048)  22,793 
Foreign exchange and monetary variations, net  102,301  (272,176) 
Result from derivative financial instruments  (5,829)  (13,224) 
Write off fixed assets and intangible  26,548  2,572 
Accrued actuarial liability  (18,803)   
Gain with business combination  (38,483)   
Gain on divestiture from assets  (252,023)   
Environmental liabilities and Deactvation Provisions  18,271  2,518 
Impairment Fair Value Transnordestina  387,989   
Fiscal, Social Security, Labor, Civil and Environmental Provisions  2,817  18,179 
Working Capital  (139,630)  (103,895) 
Accounts Receivable  (85,853)  87,436 
Trade Receivables – Related Parties  (2,859)  (21,349) 
Inventory  (164,844)  (312,169) 
Interest receive - Related Parties  27,633  1,727 
Judicial Deposits  13,354  (15,347) 
Suppliers  195,354  192,477 
Taxes and Contributions  (60,711)  (59,047) 
Others  (61,704)  22,377 
Others Payments and Receipts  (539,991)  (929,792) 
Interest Expenses  (539,991)  (929,792) 
Cash Flow from Investment Activities  (572,077)  (153,386) 
Fixed Assets/Intangible  (452,170)  (188,573) 
Derivative transactions  (9,394)  15,200 
Related parties loans  (64,343)  (15,188) 
Loans / Receive loans - related parties    9,472 
Short-term investment, net of redeemed amount  (418,707)  25,703 
Cash and Cash Equivalent from discontinued operations  40,702   
Net Cash from Divestiture from discontinued operations investments  331,835   
Cash Flow from Financing Companies  (128,354)  (306,516) 
Borrowings and financing raised, net of transaction costs  22,597   
Borrowing amortizations - principal  (151,196)  (306,516) 
Borrowing costs  245   
Foreign Exchange Variation on Cash and Cash Equivalents  (21,577)  9,053 
Free Cash Flow  (220,210)  (555,366) 

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SALES VOLUME CONSOLIDATED (thousand tonnes)
    1Q16   4Q16   1Q17   Change
1Q17 x 4Q16    1Q17 x 1Q16 
Flat Steel  611  689  566  (123)  (45) 
Slabs  -  -  -  -  - 
Hot Rolled  220  243  215  (29)  (6) 
Cold Rolled  108  137  118  (19)  9 
Galvanized  197  207  157  (50)  (40) 
Tin Plates  85  102  77  (26)  (8) 
Long Steel UPV    38    47    51    4    13 
DOMESTIC MARKET     649    736    617    (119)    (32) 
 
     1Q16   4Q16    1Q17    1Q17 x 4Q16    1Q17 x 1Q16 
Flat Steel  381  270  349  79  (32) 
Hot Rolled  59  9  20  11  (39) 
Cold Rolled  27  18  24  6  (3) 
Galvanized  265  202  258  56  (7) 
Tin Plates  30  41  48  6  18 
Long Steel (profiles)    216    181    228    47    12 
FOREIGN MARKET    597    451    577    126    (20) 
 
     1Q16    4Q16    1Q17    1Q17 x 4Q16    1Q17 x 1Q16 
Flat Steel  992  959  915  (44)  (77) 
Slabs  -  -  -  -  - 
Hot Rolled  280  252  235  (17)  (45) 
Cold Rolled  135  155  141  (14)  6 
Galvanized  462  408  415  7  (47) 
Tin Plates  115  144  124  (20)  9 
Long Steel UPV  38  47  51  4  13 
Long Steel (profiles)    216    181    228    47    12 
TOTAL MARKET    1.246    1.187    1.194    7    (52) 

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SIGNATURE
 
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: December 22, 2017
 
COMPANHIA SIDERÚRGICA NACIONAL
By:
/S/ Benjamin Steinbruch

 
Benjamin Steinbruch
Chief Executive Officer

 

 
By:
/S/ David Moise Salama

 
David Moise Salama
Executive Officer

 
 

 

 
FORWARD-LOOKING STATEMENTS

This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management's current view and estimates of future economic circumstances, industry conditions, company performance and financial results. The words "anticipates", "believes", "estimates", "expects", "plans" and similar expressions, as they relate to the company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.

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