Help Desk -
9717405332, 9599714297, 9810335381

Salzgitter Group achieves best half-year result since 2008

Steel News - Published on Tue, 14 Aug 2018

Image Source:
In the first half of 2018, the Salzgitter Group achieved the best result in earnings before taxes since 2008. The figure came in at € 198.6 million, which is almost double compared with the year-earlier period (€ 100.2 million). Along with the strong performance of the Strip Steel Business Unit, all other segments contributed to this impressive development with positive results.

The Salzgitter Group’s external sales remained unchanged compared with the year-earlier level (€ 4,617.1 million; H1 2017: € 4,616.2 million). The growth in the sales of the Strip Steel Business Unit, above all on the back of selling prices, more than compensated for the decline in the Trading Business Unit. Earnings before taxes soared to € 198.6 million (H1 2017: € 100.2 million). This figure comprises € 25.1 million in after-tax contribution from a participating investment in Europe’s leading copper producer Aurubis AG, a company included at equity (H1 2017: € 53.7 million). The after-tax result stood at € 135.4 million (H1 2017: € 64.7 million). Earnings per share therefore came in at € 2.45 (H1 2017: € 1.14) and return on capital employed at 12.8 % (ROCE H1 2017: 7.3 %). An equity ratio of 36.3 % and a net financial position that has risen to € 239.5 million (2017/06/30: € 24.2 million) form the basis of the Salzgitter Group's comfortable financial basis and sound balance sheet.

Against the backdrop of uncertainty from trade policies and their possible impact, Salzgitter AG is leaving its guidance for the financial year 2018 unchanged – notwithstanding the currently positive situation of our key sales markets – and continues to anticipate a slight increase in sales to above the € 9 billion mark, a pre-tax profit of between € 250 million and € 300 million and a return on capital employed that is stable compared the previous year's figure.

Source :

Posted By : Nanda Koijam on Tue, 14 Aug 2018
Related News from Steel segment