Turkish rebar producer Izmir Demir Çelik Sanayi A.Ş. (IDC) has announced its financial results for the second quarter and first half of the current year.
In the second quarter of this year, IDC registered a net loss of TRY 7.3 million ($2.55 million), compared to a net profit of TRY 45.6 million in the same quarter of 2014. The company's sales revenues decreased by 14.36 percent year on year to TRY 512.5 million ($179.5 million). In the given period, IDC recorded an operating profit of TRY 25.35 million ($8.8 million), compared to an operating profit of TRY 32.5 million in the previous year.
In the January-June period this year, IDC recorded a net loss of TRY 124.5 million ($43.6 million) compared to a net profit of TRY 38.3 million registered in the first half of the previous year. In the given period, the company’s sales revenue amounted to TRY 1.08 billion ($379.9 million), falling 1.3 percent year on year, while it registered an operating profit of TRY 30.2 million ($10.5 million), declining 7.7 percent compared to the same period of 2014.
IDC said that in the first half of this year its steel billet output decreased by five percent to 589,489 mt, while its rebar production amounted to 411,150 mt, falling by one percent, both year on year. Besides, 169,037 mt of rebar was also produced by the company's contractual partners in the given period, with a year-on-year decline of six percent. During the same period, the company produced 134,799 mt of steel sections at its medium section mill, up 16 percent year on year.
IDC also stated that production cut plans that have started to be implemented and will continue to be implemented in the coming period in China in order to reduce air pollution have caused increases in the prices of raw materials, semi-finished and finished products, which will also affect the Turkish steel market.