ArcelorMittal Europe increased steel output by 11.8% q/q in the first quarter

ArcelorMittal Europe, the European division of one of the largest steel producers in the world, in the first quarter of 2023, increased steel production by 11.8% compared to the previous quarter – up to 7.78 million tons. This is stated in the report, published by the corporation.

In comparison with the first quarter of 2022, in January-March 2023 steel production by the European division of ArcelorMittal decreased by 10.5%.

“Obvious demand improved in the first quarter of 2023 after contracting aggressively in the second half of 2022, which helped boost output in the period. The company gradually restored suspended capacity during the quarter to meet demand. At the end of the period, ArcelorMittal was hit by incidents that temporarily disabled the blast furnaces at Gijón and Dunkirk. Maximum efforts are being made to restore production and supply of products,” the message says.

Steel shipments for this period amounted to 7.75 million tons, which is 14% more compared to the previous quarter, and 7% less to January-March 2022.

In the quarter, steel sales increased by 8.2% q/q, but decreased by 16.4% y/y – to $10.903 billion.

ArcelorMittal Europe’s operating profit in January-March 2023 was $377 million against a loss of $10 million in the fourth quarter of 2022. Compared to the same period in 2022, the indicator decreased by 5.5 times. The EBITDA indicator was $671 million, which is 2.2 times more q/q, but 3.6 times less y/y.

As GMK Center reported earlier, ArcelorMittal Europe in 2022 reduced steel production by 13.3% y/y – to 31.9 million tons. Steel shipments amounted to 30.18 million tons, which is 9% less y/y.

Steel sales for the year increased by 9.1% y/y – up to $47.26 billion. ArcelorMittal Europe’s operating profit in 2022 decreased by 24.3% y/y – to $4.92 billion. The EBITDA indicator for the year was $6.03 billion, which is 10% less y/y.

ArcelorMittal is a leading global steel and mining company with presence in 60 countries and production assets in 18 countries.