Swedish specialty steel producer SSAB has posted its financial results for the first quarter of the current year, reporting a net profit of SEK 6.01 billion ($611.97 million) in the first quarter, compared to a net profit of SEK 1.51 billion in the corresponding period of 2021 and a net profit of SEK 5.46 billion in the fourth quarter of last year. The company’s sales revenues amounted to SEK 31.57 billion ($3.21 billion) in the first quarter, increasing by 15.5 percent quarter on quarter and up by 60.5 percent year on year. In the same period, the company reported an operating profit of SEK 8.37 billion ($852.11 million) compared to an operating profit of SEK 1.99 billion recorded in the first quarter of 2021 and an operating profit of SEK 6.96 billion in the fourth quarter last year. SSAB stated that the first quarter was characterized by high steel prices and earnings rose to record levels. Steel demand in the first quarter exceptionally increased due to constraints in steel supply after Russia invaded Ukraine.
Meanwhile, in the first quarter of this year, SSAB’s crude steel output decreased by 16.6 percent to 1.75 million mt, while its finished steel production stood at 1.71 million mt, down by 11.3 percent, both year on year. Its steel shipments in the given period went down by 9.2 percent year on year to 1.66 million mt.
According to SSAB, steel demand during the second quarter of 2022 is expected to normalize, though at a somewhat lower level than in the first quarter. There remain uncertainties with shortages of components as well as a bottleneck in logistic chains.