Finland-based stainless steel producer Outokumpu has announced its financial results for the third quarter and the first nine months of the current year.
The company registered a net profit of €20 million in the third quarter, compared to a net loss of €5 million in the previous quarter and a net loss of €55 million in the same quarter of last year. In the given quarter, the company’s sales revenues decreased by 1.4 percent quarter on quarter and by 0.8 percent year on year to €1.52 billion. In the third quarter this year, the company’s adjusted EBITDA was €86 million.
In the January-September period, the company registered a net loss of €8 million compared to a net profit of €131 million in the same period of the previous year, while the company’s sales revenues in the first nine months this year declined by 16.7 percent year on year to €4.54 billion. In the given period, Outokumpu’s adjusted EBITDA was €180 million, compared to €445 million in the first nine months of 2023.
Outokumpu’s stainless steel deliveries in the third quarter this year dropped by 1.9 percent quarter on quarter and increased by 2.2 percent year on year to 459,000 mt, while in the first nine months this year the company’s stainless steel deliveries fell by 5.8 percent year on year to 1.37 million mt.
According to its statement, the company’s profitability in the third quarter was supported by higher realized prices for stainless steel, though total stainless steel deliveries in the first nine months were negatively affected by the political strike in Finland, resulting in a decrease year on year.
The company stated that its stainless steel deliveries in the fourth quarter are expected to decrease by 0-10 percent compared to the third quarter, driven by weakness in the Europe and Americas markets. At current raw material prices, raw material-related inventory losses are expected to be realized in the fourth quarter. On the other hand, the company expects its adjusted EBITDA in the fourth quarter of 2024 to be lower compared to the third quarter.