Ferrexpo PLC reported a decline in third-quarter production, citing rising input costs and lower iron ore prices, compounded by the challenges of operating in Ukraine. The Switzerland-based iron ore pellet producer announced a 16% drop in total production to 1.4 million tons, with pellet output falling 14% to 1.3 million tons.

Interim Executive Chair Lucio Genovese highlighted the difficult operating environment, with the company importing 80% of its electricity at high tariffs, along with elevated shipping costs and war risk insurance premiums. To mitigate margin pressures, Ferrexpo focused on selling higher-quality iron ore products to nearby customers.

Chief Financial Officer Nikolay Kladiev noted that lower iron ore prices and rising costs have significantly impacted margins. While recent Chinese stimulus measures have supported iron ore prices, Kladiev remains cautious about future price stability.