Brazil steelmaker Gerdau said this week it is currently evaluating the profitability of its operations and could potentially take the decision of selling assets.
In a conference call with analysts this week, the company’s CEO, Andre Gerdau Johannpeter, said that such a re-evaluation includes, but is not limited to, JV projects as well as the different operations the company has.
“We’ve been expanding a lot in the past few years. Considering the global scenario we have, and the many challenges that exist in different geographies, we took the decision to re-evaluate any operation, any country, any business line, and we’re analyzing what we’ll do,” Johannpeter said.
Despite saying that the company hasn’t decided anything, Johannpeter said the re-evaluation could include the sale of a JV asset, or the partial sale of an asset, as well as a merger.
“We’re open to re-evaluate our geographic position before the global challenges we face,” he said.
As for Q3, Gerdau expect a more stable domestic market. In its North American division, Gerdau said Q2 and Q3 are typically the best quarters for the company in the US, and that perspectives for its North American operations are positive.