Wuhan Steel reports solid production gains

Tuesday, 05 July 2005 14:15:00 (GMT+3)   |  
       

Wuhan Steel reports solid production gains

China's second largest steelmaker, Wuhan Steel, increased its first half sales revenue 38.8 percent year on year to RMB 25.1 billion ($3.03 billion) thanks to strong production gains across the board. The company produced 4.93 million tons of iron in the first half of 2005, up 20.9 percent from the previous year. Wuhan also churned out 5.08 million tons of steel, 18.4 percent better than the first half of 2004, while finished steel production climbed 14.5 percent to 4.66 million tons. The steelmaker exported 550'000 tons of production during the first six months of 2005. Even though rising production costs and falling domestic steel prices cut into the company's profit margins, Wuhan still reported a 38.8 percent year-on-year profit gain to reach RMB 4.25 billion ($514 million). Wuhan Steel set RMB 7 billion ($846 million) as its profit goal for 2005. There is a chance, however, that the company may not make its target despite its strong first half. Last week, the company announced that it would cut prices on most of its steel products by 10% in August. The news led to a 2.93% decline in the company's stock prices.

Similar articles

China’s HDG market sees low inventories in some regions

26 Nov | Flats and Slab

China’s medium plate market sees slight rise

25 Nov | Flats and Slab

Will Chinese HRC export pressure on the Indian market continue to ease?

24 Nov | Flats and Slab

Chinese common alloys market registers a minor rise

17 Nov | Scrap & Raw Materials

US economy still at risk of “W”-shaped recovery

16 Nov | Steel Matters

HRC prices in India finally decrease in response to Chinese offers

16 Nov | Flats and Slab

Chinese ferromolybdenum market sees price stability and weak trading

16 Nov | Scrap & Raw Materials

Chinese hot rolled market moves up on fluctuating trend

10 Nov | Flats and Slab

Fluctuations replace uptrend in Chinese medium plate market

04 Nov | Flats and Slab

Chinese hot rolled market enters fluctuating phase

03 Nov | Flats and Slab