Acerinox posts growth in revenues due to higher prices

Spanish stainless steel producer Acerinox S.A. has reported a net profit of €136.3 million for 2014, increasing six-fold compared to 2013, while its net sales came to €4.4 billion, rising 10.4 percent year on year, as a result of the six percent increase in sales volume and the higher average sales price over the year, due to the rise in nickel price and consequently, in alloy surcharges.
 
According to the latest International Stainless Steel Forum (ISSF) data, global production of stainless steel in 2014 amounted to 41.2 million mt, up 7.9 percent on 2013. This growth will allow stainless steel supply and demand to balance each other in the medium term. The breakdown by geographic region shows a shift of production between Europe and the US due to the ramp-up of the Outokumpu plant in Calvert, Alabama. Meanwhile, Chinese stainless steel production grew by 14.3 percent year on year in 2014, representing 53 percent of world production.
 
On the consumption side, Acerinox pointed out that the European and American markets have continued trends that began in 2013. In Europe, apparent consumption increased with the recovery of stocks in the supply chain. US apparent consumption increased due to the economic situation, stainless steel demand and demand for manufactured goods with stainless steel. Demand in China has remained strong despite lower economic growth and the ASEAN area is showing a greater increase, especially in Indonesia and Malaysia, according to Acerinox.
 
In 2014, the company's hot rolled product output came to 2 million mt, up 5.6 percent year on year, while its cold rolled product production totaled 1.6 million mt, rising 3.7 percent compared to 2013.