Stalprofil revenue drops, foresees further import pressure
Stalprofil says EU steel imports from the Far East and Turkey, despite safeguard measures, are likely to continue depressing steel prices in the bloc, after the Polish distributor saw third-quarter revenue fall 11% on-year, Kallanish notes.
Revenue came in at PLN 355.6 million ($87.6m). It fell despite shipments in Q3 rising 14% on-year, the firm says without providing tonnage. Net income however rose 76% to PLN 3.7m, thanks to lower costs and taxes, and better pipeline infrastructure segment margin.
The steel demand rebound anticipated in Q3 did not materialise, while weak activity among steel consumer sectors depressed prices further, Stalprofil notes. This led to further downward revisions for EU consumption forecasts.
In the nine months through September, Stalprofil’s revenue fell 10% on-year to PLN 1.09 billion but net profit rose 10% to PLN 16.1m, with shipments rising 16%.
Adam Smith Poland
