Finland-based stainless steel producer Outokumpu has announced its financial results for the third quarter and the first nine months of the current year.
The company registered a net profit of €207 million in the third quarter compared to a net profit of €178 million in the same quarter last year and a net profit of €338 million in the previous quarter. In the given quarter, the company’s sales revenues increased by 26.7 percent year on year and down by 12.9 percent quarter on quarter to €2.34 billion. In the third quarter this year, the company’s adjusted EBITDA was €304 million, which is the best third-quarter result in Outokumpu’s history.
In the January-September period, the company registered a net profit of €775 million compared to a net profit of €376 million in the same peirod of the previous year, while the company’s sales revenues in the first nine months this year rose by 47.2 percent year on year to €7.59 billion. In the given period, Outokumpu’s adjusted EBITDA was €1.14 billion, compared to €668 million in the first nine months of 2021.
Outokumpu’s stainless steel deliveries in the third quarter this year decreased by 10 percent year on year and were down by 12.3 percent quarter on quarter to 491,000 mt, due to high imports, while in the first nine months this year the company’s stainless steel deliveries fell by 2.9 percent year on year to 1.65 million mt.
The company continues to restrict its ferrochrome production, delaying further the restart of one of its three ferrochrome furnaces at least until the end of the first quarter of 2023, as the price of electricity remains exceptionally high, as SteelOrbis previously reported.
The company stated that its stainless steel deliveries in the fourth quarter are expected to decrease 0-10 percent compared to the third quarter. At current raw material prices, raw material-related inventory losses are expected to be realized in the fourth quarter. The company’s adjusted EBITDA in the fourth quarter is expected to be lower compared to the third quarter.