Canada-based steelmaker Stelco Holdings Inc. has announced its financial results for the third quarter and the first nine months this year.
The company has reported a net income of $158 million for the third quarter, compared to a net income of $554 million in the second quarter and a net income of $614 million in the third quarter of 2021. Stelco’s revenues in the given quarter totaled $846 million, down by 18.4 percent quarter on quarter and decreasing by 37.5 percent year on year due to lower average selling prices and shipping volumes, while its adjusted EBITDA was $245 million, down by 68.8 percent year on year.
In the first nine months this year, Stelco achieved a net income of $974 million, decreasing by 11.1 percent compared to a net income of $1.09 billion in the same period of 2021. The company’s revenues in the given period came to $2.78 billion, down by five percent, while its adjusted EBITDA was $1.11 billion, down by 19.6 percent, both year on year.
In the third quarter, the company shipped 622,332 mt of products, down by 3.3 percent year on year and up by 1.3 percent compared to the second quarter. The company shipped 1.77 million mt of products in the first nine months, decreasing by 5.1 percent year on year.
Despite market headwinds driven by cost inflation and a further deterioration in steel pricing trends, in the third quarter Stelco was able to increase shipment volumes compared to the previous quarter.
For the fourth quarter, the company expects steel prices to soften, consistent with current trends and sales activities in the market.