Shandong Province-based Chinese steelmaker Shandong Iron and Steel Group Co. has issued its financial results for the first half of this year, indicating a net loss of RMB 996 million ($157 million) compared to a net profit of RMB 422 million ($66.6 million) in the same period of last year. Meanwhile, the company reported an operating revenue of RMB 40.244 billion ($6.35 billion) for January-June this year, decreasing from RMB 42.731 billion ($6.74 billion) in the first half of 2011.
In the first half of this year, Shandong Iron and Steel Group produced 5,745,000 mt of pig iron, 7,017,000 mt of crude steel and 6,778,000 mt of finished steel.
The steel producer stated that in the second half of the year its economic and operational situation may still face much uncertainty amid higher production costs, reduced profit margins and the increasing imbalance between supply and demand in the market.