Bekaert anticipates good demand in second half-year

Belgian wire specialist Bekaert anticipates strong demand in the second half of the year and lower inventory valuation impact thanks to the expected flattening of raw materials prices, Kallanish notes.

The company, however, says it “remains cautious about supply chain interruptions and other challenges posed by the Covid-19 pandemic.”

While it will release its H1 financial results on 30 July, based on “preliminary and unaudited” financial statements, Bekaert expects to reveal a particularly strong financial performance in the half.

The high margins of its finished product were due to the strong market rebound from the Covid-19 pandemic, structural improvements in the firm’s business portfolio and performance, and “a very strong positive inventory valuation impact driven by the price increases of raw materials”, Bekaert adds.

According to preliminary H1 results, revenue stood at €2.3 billion ($2.7 billion), up 30% from H1 2020 and back to pre-Covid-19 levels.

Natalia Capra France