Stalprofil saw steel product sales rise 15% on-year in the first half of 2021 to 94,916 tonnes, thanks to recovering demand, which, coupled with higher steel prices, lifted steel segment earnings. Steel structures sales fell 19% to 978t, Kallanish notes.
Pipe anti-corrosion insulation sales however inched down 6% to 856,481 square metres.
Stalprofil’s consolidated revenue rose 2% on-year in H1 to PLN 767.7 million ($201.5m), while net profit attributable to majority shareholders soared over four-fold to PLN 62m.
Revenue generated in the domestic market rose 14%, taking a 90.4% share in overall revenue, while export sales almost halved, taking a 9.6% share. This was amid competition and influx of cheap steel into the EU from the Far East and CIS, Stalprofil says. The reduced exports were also due to the earlier completion of a pipe insulation contract for Lithuanian natural gas transmission operator Amber Grid. Polish apparent steel consumption rose 19.2% in the period.
In terms of export sales, deliveries to European countries outside the EU28 took a 16.3% share versus only 5% in H1 2020.
Despite the fall in steel structures sales, subsidiary Kolb’s high-margin steel structures for machinery sales rose 37% in H1, lifting Kolb’s profit 110%.
Adam Smith Germany