Luxembourg-based steel producer ArcelorMittal has announced its financial results for the fourth quarter and the full year of 2024.
In the fourth quarter last year, ArcelorMittal recorded a net loss of $390 million, compared to the net profit of $287 million in the third quarter, while its sales revenues declined by 3.2 percent from the third quarter to $14.2 billion. The company’s operating income was greatly hurt by the impairment charges of $80 million and costs related to business optimization, decreasing by 20.3 percent quarter on quarter to $529 million. The producer posted EBITDA for the last quarter at $1.65 billion, up from $1.58 billion recorded in the third quarter, primarily due to the improvement in the mining segment offsetting the weaker results in North America.
In 2024, the company registered a net profit of $1.14 billion compared to $919 million in 2023, while its sales revenues totaled $62.4 billion, down by 8.5 percent, both year on year, primarily due to 7.6 percent decrease in average steel selling prices and a 2.4 percent decline in steel shipments. The company registered an EBITDA of $7.05 billion in 2024, down 19.3 percent year on year due to negative price-cost effects on the steel business, the blockade of Mexican operations, and the impact of the 8.3 percent decrease in iron ore reference prices.
ArcelorMittal’s crude steel production decreased by 0.3 percent to 57.9 million mt in 2024, while its iron ore production increased by 0.9 percent to 42.4 million mt, both year on year. The company’s total steel shipments in the given year amounted to 54.3 million mt, down by 2.3 percent.
The company stated in its financial report that steel demand in 2025 is expected to increase, due to low inventory levels particularly in Europe. Capital expenditures in 2025 are projected to be within the range of $4.5-5.0 billion.
According to Aditya Mittal, CEO of ArcelorMittal, “ArcelorMittal's absolute emissions are down 50 percent from 2018. Current decarbonization investment is focused on ramping up production of the electric arc furnace in Sestao (Spain), which produces high quality low-carbon flat products, and the new EAF in Gijón (Spain)”.
Commenting on the future outlook, “Looking to the year ahead, while inventory levels are low and apparent demand is expected to improve, our industry continues to be characterized by global overcapacity. Further action is particularly necessary in Europe, which was impacted by increased imports in 2024, further adding to the pressures on European manufacturing. It is critical that we see progress in 2025 both in providing necessary emergency relief and creating a policy environment that incentivizes the investment required to accelerate decarbonization in Europe,” Mittal said.