Turkey-based steel producer Kocaer Çelik Sanayi ve Ticaret A.S. (Kocaer Çelik) has announced its financial and operational results for the first quarter this year.
In the first quarter, Kocaer Çelik achieved a net profit of TRY 178.11 million ($9.11 million) compared to a net profit of TRY 83.31 million in the same quarter of the previous year. The company registered an operating profit of TRY 315.63 million ($16.15 million) in the given period, up by 3.6 percent year on year. Kocaer Çelik’s sales revenues increased by 42.3 percent year on year to TRY 2.67 billion ($136.8 million). The increase in the net profit was due to higher sales revenues.
Meanwhile, the company’s EBITDA in the first quarter decreased by 6.9 percent year on year to TRY 322.09 million ($16.48 million), while its EBITDA margin decreased to 12 percent from 18.4 percent.
In the given period, Kocaer Çelik’s product sales volume amounted to 137,554 mt, falling by 0.4 percent year on year. Last year, the share of the company’s value-added products in its total sales volume decreased to 34.4 percent, from 43.2 percent in the first quarter of 2022. The company mainly prefers order-based production and operates with a minimum stock of products and raw materials.
According to the company’s statement, natural gas and electricity prices increased significantly in the January-March period this year, with their share in production costs rising.