Swedish iron ore producer LKAB has issued its financial results for the first quarter of 2022.
In the first quarter, the company registered a net profit of SEK 3.81 billion ($389.94 million), compared to a net profit of SEK 5.97 billion in the first quarter of 2021. Sales revenues in the given quarter decreased by 2.3 percent year on year to SEK 11.97 billion ($1.22 billion), while the company recorded an operating profit of SEK 6.49 billion ($664.66 million) compared to an operating profit of SEK 7.15 billion in the corresponding quarter of the previous year. Operating profit and net profit were affected mainly by lower prices for highly upgraded iron ore products and lower delivery volumes.
In the first quarter this year, the company’s iron ore output amounted to 6.4 million mt, decreasing by 13.5 percent year on year, while its iron ore shipments fell by 2.9 percent year on year to 6.7 million mt.
The company stated that the first quarter’s production was impacted by a production disruption at one of the pelletizing plants in Kiruna.