Mexican steelmaker Grupo Acerero (GASA), the fifth largest producer of rebar in Mexico, recorded net losses of MXN 248 million ($12.0 million) in the third quarter (Q3) of the year, 37.5 percent less than the net losses of the same quarter of 2023.
In the January-September period, it recorded net losses of MXN 87 million ($4.2 million), a figure that contrasted with the profits of $17.1 million of the same period last year.
According to the company's financial report, seen by SteelOrbis, the reduction in net losses was generated by lower sales and administration expenses by 60.1 percent to $9.2 million. This reduction generated an operating profit of $1.1 million, a figure that contrasted with the operating losses of $9.1 million in the third quarter of last year.
GASA's sales volume in the third quarter decreased 5.5 percent to 235,000 metric tons (mt). This decrease in volume was accompanied by lower sales prices of 9.7 percent to $768/mt.
Sales of the steelmaker located in the central Mexican state of San Luis Potosí totaled the equivalent of $180.5 million in the quarter, 14.7 percent (measured in pesos) less than the billing for the July-September period of last year.
EBITDA went from a negative figure of $4.6 million in the third quarter of last year to a positive EBITDA of $8.0 million.
The company's total debt balance as of September was $275 million, 7.1 percent more than the balance in December of last year. Of that total, 78.8 percent is bank debt and the rest is stock market debt.