Nexa Resources S.A. (NYSE:NEXA) Q1 2022 Earnings Conference Call April 29, 2022 11:00 AM ET

Company Participants

Roberta Varella - Head, IR

Ignacio Rosado - CEO

Rodrigo Menck - CFO

Leonardo Coelho - SVP of Mining

Conference Call Participants

Carlos De Alba - Morgan Stanley

Orest Wowkodaw - Scotia Bank

Alex Hacking - Citi

Jacky Przybylowski - BMO Capital

Herman Kisluk - MetLife

Lawson Winder - Bank of America

Operator

Good morning, and welcome to Nexa Resources First Quarter 2022 Conference Call. [Operator Instructions]

This event is being recorded and is also being broadcast via webcast and may be accessed through Nexa's Investor Relations website where the presentation is also available. [Operator Instructions].

I would now like to turn the conference over to Mr. Roberto Varella, Head of Investor Relations, for opening remarks. Please go ahead.

Roberta Varella

Good day and good afternoon, everyone, and welcome to Nexa Resources' First Quarter 2022 Earnings Conference Call. Thanks for joining us today. During the call, we will be discussing the company's performance as per the earnings release that we issued yesterday. We encourage you to follow along with this unscreened presentation to the webcast. .

Before we begin, I'd like to draw your attention to Slide #2, as we will be making forward-looking statements about our business, and we just ask that you refer to the disclaimer and the conditions surrounding those statements. It's now my pleasure to introduce our speakers. Joining us today is our CEO, Ignacio Rosado; our CFO, Rodrigo Menck and Leonardo Coelho, our Senior Vice President of Mining as well as the Investor Relations team.

With that, I'm going to go ahead and turn the call over to Ignacio. So Igancio, please go ahead.

Ignacio Rosado

Thank you, Roberta, and thanks to everyone for being with us this morning. Please let's move now to Slide #3, where we will begin our presentation. As the main highlights, you can see that overall operating performance was as expected and in line with guidance. In the first quarter, our production was mainly affected by the Vazante flooding due to the heavy rains. However, we announced in early April that Vazante is operating at full capacity.

Also, in this quarter, we have continued to benefit from high base metal prices that combined with our solid operational performance and financial discipline generated a record high adjusted EBITDA and a strong operational cash flow. Our balance sheet continues to be strong with a low financial leverage. .