UPDATE 1-Profits from Ternium edge up, slimmer margins seen in next quarter

(Adds details from statement)

April 24 (Reuters) -

Steelmaker Ternium on Wednesday posted a first-quarter net profit that edged up 2%, propelled by larger shipments of steel even as it predicted that margins could shrink in the coming months.

Ternium, which produces flat steel products for industrial use, posted a net profit of $491 million while its net sales rose by about a third to reach $4.8 billion during the quarter. The company's steel shipments during the January-to-March period, meanwhile, jumped 27% year-on-year to hit 3.9 million metric tons.

Both metrics landed above forecasts of analysts polled by LSEG, who had estimated profits of $325 million and revenue of $4.77 billion.

Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), soared 68% to total $855 million.

Looking forward, the company said it expected its recurring adjusted EBITDA in the second quarter to shrink compared to the first three months of the year, citing lower margins even as it expects steel shipments to grow.

"The steel segment's revenue per ton is anticipated to decline in most of Ternium's markets while cost per ton will remain relatively stable," the firm said, adding its mining segment should next quarter produce similar iron ore volumes as in the first quarter.

In Brazil, the company noted that a blast furnace whose outage had disrupted slab production was still undergoing repairs. It forecast slight improvement in the steel market there, warning of a still "high influx of steel imports at unfair prices."

In Mexico, the company's main market, Ternium predicted "a sustained expansion in the northern region fueled by the relocation of production capacity from Asia to North America."

Mexico has benefited from a trend of near-shoring, or relocating manufacturing closer to U.S. markets. This has included moves to produce more steel used for car manufacturing within the United States, Canada and Mexico. (Reporting by Sarah Morland; Editing by David Alire Garcia)