On January 29, Jiangxi Province-based Chinese steelmaker Xinyu Iron and Steel Co. issued its estimated financial results for 2012.
According to its preliminary calculations, Xinyu Steel recorded a net loss of RMB 950-1,050 million ($151-167 million) for 2012, compared to a net profit of RMB 170.4099 million ($27 million) in 2011. In 2012, the company reported a net loss of RMB 0.68-0.75 per share.
Xinyu Steel stated that in 2012 its profits were negatively impacted by sharp decreases in steel prices, higher production costs and weak steel market demand, despite its efforts to reduce production costs.