Malaysia-based steelmaker Ann Joo Resources (AJR) has announced its financial results for the first quarter of 2023.
In the first quarter, the company has posted a net loss of MYR 21.35 million ($4.62 million), compared to a net profit of MYR 32.92 million in the same quarter last year. AJR’s sales revenues in the given period totaled MYR 670.72 million ($145.04 million), falling by 0.3 percent year on year.
According to the company’s statement, the steel market remains highly volatile and uncertain in the wake of sudden price corrections since April, despite the rebound in steel prices following China’s reopening in the first quarter of the year. The outlook of the global steel market is bearish, as global recession fears and the supply-demand imbalance in China are expected to stymie the momentum of demand recovery. The company stated that steel demand growth is restrained by the uncertainty in China’s steel market, adding that China’s fast-rising steel production and its poor end-user demand recovery continue to put pressure on steel prices.