Gerdau S.A. reported an 8.6% decline in its second-quarter adjusted net profit year-on-year, reaching 864 million reais ($154.26 million). This figure was slightly below analysts' expectations, indicating challenges in certain operational areas. The company's net income for the quarter was $152.6 million, or 8 cents per share, on revenue of $3.09 billion.
The profit decline was primarily driven by weaker results in the South America segment outside Brazil, partially offset by favorable currency effects. In contrast, North American operations demonstrated stronger performance, significantly benefiting from U.S. tariffs. This segment contributed 61% of consolidated EBITDA in Q2 2025, marking its highest share ever.
The robust contribution from North America underscores its role as a key growth engine for Gerdau, mitigating some of the pressures faced in other regions. However, the overall decline in adjusted net profit highlights the ongoing need for the company to navigate diverse regional market dynamics and competitive landscapes effectively.
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