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Turkey’s Erdemir sees 45 percent fall in net profit for Q3

Thursday, 18 October 2012 13:49:01 (GMT+3)   |  
       

Turkey's largest steelmaking group Eregli Demir ve Celik Fabrikalari TAS (Erdemir) has announced its financial results for the third quarter and the first nine months of 2012.

In the third quarter, the net profit of the company amounted to TRY 151.74 million ($84.25 million), down 45.4 percent year on year. The company's sales revenues in the given quarter decreased by almost four percent to TRY 2.35 billion ($1.3 billion), while its operating income decreased by 60.6 percent to TRY 235.4 million ($130.7 million), both compared to the corresponding period of the previous year.

In the first nine months of the current year, Erdemir registered a net profit of TRY 357.4 million ($198.4 million), down by 57 percent compared to the same period of 2011. In the given period, its sales revenues amounted to TRY 7.13 billion ($3.9 billion), increasing by 7.05 percent, while the operating income of the company decreased by 65 percent to TRY 505.47 million ($280.6 million), both year on year.

Regarding the operational results, in January-September 2012 crude steel production at Erdemir's Eregli works decreased by 7.7 percent year on year to 2.28 million mt, while crude steel output at the producer's Iskenderun works increased by 9.7 percent year on year to 3.4 million mt.

In the first nine months, the finished steel output of Erdemir's Eregli works decreased by 4.8 percent to 2.65 million mt, while its Iskenderun works produced 3.33 million mt of finished steel, up 40.2 percent, both compared to the same period of the previous year. Additionally, the finished steel sales volumes of both the Eregli and Iskenderun works increased in the given period, standing at 2.7 million mt and 3.23 million mt, respectively.

For the first nine months of the current year, the total investment expenditures of the Eregli and Iskenderun works amounted to $124.31 million. The total investments for the first nine months of the previous year were $110.29 million.


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