Ternium reported excellent numbers for Q1. The revenue is growing, EBDTA per ton is strong, and company has a positive net cash balance. Some highlights:
– Positive free cash flow of 250M in Q1
– Ternium expects an increase in operating income in the second quarter 2010 compared to the first quarter 2010
– Net cash position of 400M at end of Q1
– EBIDTA of 384M, EBIDTA per ton of $190/ton
I expect the company to perform strong in 2010 and 2011. It is well positioned in one of the growing parts of the world. With the strong balance sheet, I would not be surprised if the company takes on debt for expansion.