Erdemir posts $106 million profit in Q1 2010

On May 6, Turkey's largest steelmaking group Eregli Demir ve Celik Fabrikalari T.A.Ş. (Erdemir) posted a profit of TRY 166.98 million ($106.39 million) for the first quarter of 2010, compared to a loss of TRY 164.42 million in Q1 2009. In the last quarter of 2009, the company recorded a net profit of TRY 119 million.
 
According to a filing with the Istanbul Stock Exchange (IMKB), in the first three months of this year the steelmaker's net sales rose by 48.45 percent year on year to TRY 1.58 billion (about $1 billion); however, compared to the previous quarter, net sales regressed by 2.87 percent.
 
In the given period, crude steel production at Erdemir's Eregli works slightly decreased by 0.9 percent year on year to 889,000 mt, while crude steel output at the producer's Iskenderun works rose by 44 percent year on year to 953,000 mt The company's Eregli works' finished steel output totaled 890,000 metric tons while Isdemir works' finished steel output amounted to 942,000 metric tons, decreasing by 11.44 percent and up 25.94 percent year on year respectively.
 
In Q1 2010, total finished steel product sales at the Eregli works fell by 19.42 percent and reached 830,000 metric tons, while the steel product sales at the Isdemir works amounted to 863,000 metric tons, rising by 20.2 percent, both compared to the corresponding period of 2009.
 
Erdemir produces pig iron, slab, billet, rebar, tin plate, galvanized, hot and cold rolled sheet.