BHP Steel doubles profit expectations

BHP Steel doubles profit expectations

The Australian flat, coated and painted products producer and distributor company BHP Steel has announced its expectations of a net profit after tax for this 2002/03 financial year to be around A$400 million, assuming operational performance and no major economic downturn. The strong financial situation of BHP Steel encourages the company officers into growth strategies such as capacity increasing of Australian metallic coating and paint lines, as well as expanding activities in China together with debt payments and to evaluation of capital management strategies. BHP Steel demerged from BHP Billiton in July this year and was listed on the Australian Stock Exchange seperately. On November 18, 2002 the company will be holding its first annual general meeting since then. The chairman of BHP Steel, Graham Kraehe stated that the revised outlook reflects stronger than expected demand and higher prices for steel products.