Salzgitter exceeds market expectations despite supply chain disruptions

Germany’s Salzgitter AG has maintained its strong performance through the third quarter and confirms the guidance it lifted again in September (see Kallanish 8 September).

According to preliminary figures it gives in a release seen by Kallanish, the group generated a pre-tax profit of €604.5 million ($701.6m) in the first nine months, thereby outperforming current market expectations. All segments lifted their results in comparison with the previous quarter. The main drivers were once again the Strip Steel and Trading business units, it says.

External revenues rose to €7 billion, compared with €5.3 billion in the first three quarters of 2020. It mentions that supply chain disruptions and their repercussions have been impacting some units since the end of the summer quarter. Still, it reaffirms its guidance of an increase in revenues to more than €9 billion and a pre-tax profit of between € 600-700m.

Christian Koehl Germany