Turkish rebar producer Izmir Demir Çelik Sanayi A.Ş. (IDC) has announced its financial results for the third quarter and first nine months of the current year. The company expects the export markets to improve as a result of higher consumption volumes since Middle Eastern countries’ purchasing power is rising, with oil prices not likely to be lower than current levels in the coming period. IDC also foresees a gradual increase in finished steel prices in the coming months due to the difficulty of collecting scrap in winter conditions both in the US and the EU resulting in a contraction of raw material supply.
In the third quarter of this year, IDC registered a net loss of TRY 125.7 million ($43.7 million), compared to a net loss of TRY 44 million in the same quarter of 2014. The company's sales revenues decreased by 6.61 percent year on year to TRY 458 million ($159.3 million). In the given period, IDC recorded an operating profit of TRY 3.78 million ($1.31 million), falling 73.7 percent year on year.
In the January-September period this year, IDC recorded a net loss of TRY 250.3 million ($87 million) compared to a net loss of TRY 5.7 million registered in the first half of the previous year. In the given period, the company’s sales revenue amounted to TRY 1.54 billion ($535.35 million), falling three percent year on year, while it registered an operating profit of TRY 34 million ($11.8 million), declining 28 percent compared to the same period of 2014.
IDC said that in the first nine months of this year its steel billet output decreased by four percent to 869,890 mt, while its rebar production amounted to 601,574 mt, falling by one percent, both year on year. Besides, 246,715 mt of rebar was also produced by the company's contractual partners in the given period, with a year-on-year decline of three percent. During the same period, the company produced 194,375 mt of steel sections at its medium section mill, up 19 percent year on year.