Germany-based steelmaker ThyssenKrupp has announced its financial results for the first quarter ended December 31 of the financial year 2013-14, stating that it made a good operating start to the financial year in question. All operating targets for the first quarter were met or exceeded.
For the given quarter, ThyssenKrupp saw a significant rise in its net loss to €69 million, compared to a net loss of €16 million in the same quarter of the previous financial year, impacted by charges to financial income in the amount of €276 million and further special items totaling €36 million. The charges were mainly in connection with the sale of shares in Finnish steelmaker Outokumpu, agreed as part of the transaction to end the links between ThyssenKrupp and Outokumpu.
In the given period, the losses at Steel Americas were significantly reduced to €17 million, mainly as a result of higher capacity utilization, cost reductions, and positive currency and market price effects in the US.
During the given quarter, ThyssenKrupp's European steel business recorded an order intake of €2.3 billion, decreasing five percent year on year due to disposals and lower selling prices. Persistent price pressure and fierce competition in the European market continued to impact performance, while volumes were more robust. Regarding the Americas steel business, order intake in the first quarter increased by nine percent to €609 million compared to the same period of the previous financial year.
ThyssenKrupp reaffirms its outlook for the financial year 2013-14. Apart from Steel Americas, all business areas are expected to make positive contributions in the given year. As a result of operating progress, Steel Americas' losses will decline further.