Shanxi Province-based Chinese steelmaker Taigang Stainless Steel Co., Ltd has stated that it expects its net profit for the first quarter of the current year to be in the range of RMB 120-180 million ($17.0-25.5 million), down 47.77-65.18 percent year on year.
The company said that in the given period finished steel prices decreased amid the slackening of demand from downstream industries due to the outbreak of the coronavirus, resulting in its reduced profit in the first quarter of the year.
Meanwhile, the company issued its preliminary financial report for 2019, announcing an operating revenue of RMB 70.42 billion ($10.0 billion), down 3.46 percent year on year, and a net profit of RMB 2.12 billion ($0.3 billion), down 57.43 percent year on year. The company said that decreasing finished steel prices and rising raw material prices resulted in its lower profitability in the given year.
$1 = RMB 7.0714