off-the-wire

UPDATE 1-Sweden's steel maker SSAB's Q1 profit falls less than expected

Kitco Media
By Reuters
Published:
Updated:
Reuters
(Adds more detail on results and expectations) April 26 (Reuters) - Swedish steelmaker SSAB reported a smaller-than-expected fall in first-quarter earnings on Wednesday and said it expected shipments in the second quarter to be "somewhat higher". SSAB, which operates steel businesses on both sides of the Atlantic, said demand in Europe improved during the quarter, and the company increased production and deliveries, compensating for lower realised prices.


The group's operating profit for the January-March period came in at 4.73 billion Swedish crowns ($459.46 million), beating the 3.49 billion crowns forecast by analysts, according to data from Refinitiv.


Although demand in China continues to be at a relatively low level, overall SSAB said it expects stable demand during the second quarter.


It forecast that second-quarter shipments by its Special Steels and European divisions would be "somewhat higher" than the previous quarter, while shipments at the Americas division were seen to be stable.


It expects raw material costs to be in line with, or "somewhat lower", than the previous quarter, adding, however, that interest rates and rampant inflation remain worries in the second half of the year, especially in Europe.




($1 = 10.2948 Swedish crowns) (Reporting by Marta Frackowiak in Gdansk; Editing by Muralikumar Anantharaman and Sharon Singleton)

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.