Luxembourg-based ArcelorMittal, the world's largest steelmaker, has announced its financial results for the full year 2013, while stating that it is "cautiously optimistic" for 2014, expecting an EBITDA of approximately $8 billion for the year, higher than the 2013 EBITDA of $6.9 million. "The improvement in the overall economic situation led us to restart some selected steel growth projects. In addition, we have expanded our ability to serve the growing NAFTA automotive and energy steel markets through our agreement to acquire ThyssenKrupp's rolling mill in Calvert, Alabama," said ArcelorMittal CEO Lakshmi Mittal.
In 2013, ArcelorMittal saw a net loss of $2.54 billion, compared to a net loss of $3.35 billion in the previous year. During 2013, the company's sales decreased by 5.7 percent year on year to $79.44 billion, due to lower average steel selling prices which declined 4.7 percent year on year. Total steel shipments marginally increased to 84.3 million mt. In the given period, ArcelorMittal's EBITDA amounted to $6.9 billion, down 10.3 percent compared to 2012.
ArcelorMittal's crude steel production amounted to 23.3 million mt in 2013, up 3.4 percent year on year, while its iron ore production increased by 4.5 percent to 58.4 million mt, compared to the previous year.
According to ArcelorMittal's statement, in the current year mining volumes are expected to increase now that the expanded capacity at ArcelorMittal Mines Canada reached its full ramp-up rate in December 2013. This should underpin a 15 percent expansion of marketable iron ore volumes for the company in 2014 as compared to 2013. Capital expenditure is expected to be approximately $3.8-4 billion, marking a slight increase in 2014 as compared to 2013, with some of the expected spending from last year rolling into 2014 as well as the continuation of the Phase II Liberia project.
Meanwhile, ArcelorMittal's Flat Carbon Europe segment has reported an operating loss of €366 million for the fourth quarter of 2013, affected by net restructuring charges of €236 million, primarily as a result of the industrial and social plan in Liege and the review of primary production at the Florange site. The Flat Carbon Europe segment's steel shipments for the given quarter increased by 1.6 percent to 6.7 million mt, compared to the previous quarter, due to a mild pick-up in demand following the seasonally weak third quarter.