Swedish specialty steel producer SSAB has posted its financial results for the third quarter and the first nine months of the current year.
The company reported a net profit of SEK 5.07 billion ($455.72 million) in the third quarter, compared to a net profit of SEK 4.48 billion in the corresponding period of 2021 and a net profit of SEK 8.02 billion in the second quarter this year. The company’s sales revenues amounted to SEK 31.51 billion ($2.83 billion) in the third quarter, decreasing by 11.2 percent quarter on quarter and up by 24.9 percent year on year. In the same period, the company reported an operating profit of SEK 6.74 billion ($604.95 million), compared to an operating profit of SEK 10.39 billion recorded in the second quarter this year.
In the first nine months this year, SSAB reported a net profit of SEK 19.11 billion ($1.71 billion), compared to a net profit of SEK 9.21 billion in the corresponding period of 2021, while the company’s sales revenues amounted to SEK 98.6 billion ($8.85 billion) in the first nine months, increasing by 43.8 percent year on year. The company’s operating profit in the first nine months this year amounted to SEK 25.51 billion ($2.29 billion), compared to an operating profit of SEK 11.87 billion in the first nine months last year.
Meanwhile, in the third quarter of this year, SSAB’s crude steel output increased by 3.8 percent to 1.91 million mt, while its finished steel production stood at 1.67 million mt, down by 5.1 percent, both year on year. Its steel shipments in the given period went down by 10.4 percent year on year to 1.46 million mt. Production and shipments were affected by planned maintenance outages and lower demand. In the January-September period, the company’s crude steel output decreased by 7.5 percent to 5.65 million mt, while its finished steel production stood at 5.22 million mt, down by 9.2 percent, both year on year. Its steel shipments in the given period went down by 9.1 percent year on year to 4.84 million mt.
With the goal of producing fossil-free steel in 2030, feasibility studies for the company’s planned mini-mills in Luleå and Raahe are ongoing, as SteelOrbis previously reported.
According to SSAB, the market outlook is uncertain amid rising inflation, a shortage of components, and the risks of a continued fallout from the war in Ukraine. The market in Europe is expected to be weak during the fourth quarter, whereas the heavy plate market in North America is assessed to be relatively stable. Realized prices are expected to be significantly lower during the fourth quarter, compared to the prior quarter.