On October 30, Bursa-based Turkish steelmaker Cemtas Celik Makina Sanayi ve Ticaret A.S (Cemtas) announced its operational and financial results for the third quarter and for the first nine months of this year.
Accordingly, in the third quarter of the current year, Cemtas' unaudited sales revenue totaled TRY 25.95 million ($17.29 million), decreasing by 57.53 percent, while its profit amounted to TRY 1.28 million ($850,000), declining by 79.38 percent, both compared to the third quarter of 2008.
Meanwhile, in the first nine months of this year, the company's unaudited sales revenue decreased by 55.75 percent year on year, reaching TRY 70.31 million ($46.86 million), while its profit amounted to TRY 899,027 ($600,000), plummeting by 96 percent compared to January-September 2008.
In January-September this year, Cemtas' steel billet output totaled 60,873 metric tons, decreasing by 44 percent year on year, while its rolled steel output declined by 48 percent compared to the first nine months of 2008, amounting to 53,765 metric tons.
Heavily affected by the negative situation in the domestic and international automotive industry as a special steel producer, in the first nine months of 2009 Cemtas's total sales amounted to 54,164 metric tons, including sales of 24,085 metric tons to the domestic market - down 47 percent, and sales of 30,079 metric tons to the export markets - down 46 percent, both compared to January-September 2008.
As SteelOrbis previously reported, Cemtas decided to reduce its production in the last quarter of 2009, in order to balance supply with demand. Low demand is foreseen for the fourth quarter of the current year due to the expected stagnation in the domestic and foreign automotive and machine manufacturing industries, and because destocking activity has yet to be concluded by the company's customers.
Cemtas is specialized in the production of special grade steel, mainly for the automotive and machine manufacturing industries. The company has a meltshop with an annual capacity of 153,000 metric tons, and a rolling mill with an annual capacity of 228,000 metric tons.