German steelmaker and industrial group ThyssenKrupp has released its financial results for the second quarter and first half of the financial year 2008-2009.
During the second quarter ended March 31, 2009, the company registered a net loss of €362 million, compared to a net income of €502 million in the year-ago period, while the company posted a net loss of €199 million in the first half of the current fiscal year, compared to a net income of €937 million in the corresponding half of the previous fiscal year. The producer's sales decreased to €9.859 billion in the second quarter from €13.199 billion in the year-ago period, while its first half sales dropped to €21.381 billion from net sales of €25.469 billion in the first half of FY 2007-2008.
The company's net financial debt on March 31, 2009 was €3,687 million, up from the net financial debt of €1,584 million on September 30, 2008.
Commenting on the financial results, ThyssenKrupp said, "The economic fundamentals have deteriorated significantly in recent months. The collapse in demand and sharply falling prices in the markets for carbon and stainless steel and international materials services, as well as declines on the international auto markets and in civil shipbuilding, impacted ThyssenKrupp heavily. The decline was particularly severe in the second fiscal quarter."
Meanwhile, ThyssenKrupp has forecast negative full-year earnings, stating, “We expect a significant drop in order intake and sales for the full fiscal year 2008-2009. This will be reflected in earnings. Positive effects from falling input material prices, mainly in the second half, will only partly offset price and volume declines.”