German distributor Kloeckner posted a net loss of € 9 million in the third quarter. The company attributed its financial setbacks to pressure from cheap imports and weak demand for steel in anticipation of further price reductions. The company's profit was also affected by falling prices for scrap metal.
However, Kloeckner expects to catch up and return to profit in the fourth quarter through business restructuring and cost cuts.
The company said it expects pre-tax EBITDA to cut to € 85 million, half of what it received last year.
In addition, Kloeckner is expected to increase by about a percentage point in Europe's apparent steel demand in 2015 and a decline in demand by about 2 percent in the United States due to the downturn in the oil and gas industry.
Germany's largest steel trader Kloeckner posted a net loss in Q3
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Azovpromstal® 3 November 2015 г. 10:59 |
