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ArcelorMittal posts lower net profit for 2023, demand outlook positive

Thursday, 08 February 2024 15:58:22 (GMT+3)   |   Istanbul
       

Luxembourg-based ArcelorMittal, the world’s largest steelmaker, has announced its financial results for the fourth quarter and the full year of 2023.

In the fourth quarter last year, ArcelorMittal recorded a net loss of $2.96 billion, compared to a net profit in the same quarter 2022 of $261 million. The company’s sales revenues in the given period decreased by 13.8 percent year on year to $14.55 billion, primarily due to lower average steel selling prices as the steel shipment volumes were relatively stable. The company registered an EBITDA of $1.26 billion in the fourth quarter, compared to an EBITDA of $1.25 billion in the corresponding period of the previous year.

In 2023, the company registered a net profit of $919 million, almost one-tenth of the profit recorded in 2022, while its sales revenues totaled $68.27 billion, down by 14.5 percent year on year. ArcelorMittal’s net profit was strongly affected by the disposal of the Kazakhstan operations. The company registered an EBITDA of $7.56 billion in the given year, compared to an EBITDA of $14.16 billion in 2022.

ArcelorMittal’s crude steel production decreased by 1.5 percent to 58.1 million mt in 2023, while its iron ore production declined by 7.3 percent to 42.0 million mt, both year on year. The company’s total steel shipments in the given period amounted to 55.6 million mt, down by 0.5 percent year on year.

The European segment’s crude steel production decreased by 9.6 percent year on year to 28.82 million mt in 2023.

The company remains positive on the medium/long-term steel demand outlook, with apparent demand conditions showing signs of improvement as the destocking phase reaches maturity.


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