ThyssenKrupp Posts Strong Quarterly Profit

Feb. 12, 2010
Profits were three times more than expected

Steelmaker ThyssenKrupp posted on Feb. 12 a first quarter profit that was much better than expected, but warned a recovery remained fragile because sales would level off this year.

The group's pre-tax profit of 313 million euros (US$428 million), its benchmark, was nearly three times bigger than an average analyst forecast of 110 million compiled by Dow Jones Newswires and a gain of 73 million from the same period a year earlier.

Earnings from the sale of an industrial services unit were the main reason for the pre-tax result, but a statement also pointed to "higher demand, better prices in some areas, higher productivity and continuing strict cost and capital spending controls."

The group's financial year runs from October 1 to September 30, and the statement quoted chairman Ekkehard Schulz as saying that looking ahead: "We regard the emerging economic recovery as still fragile."

ThyssenKrupp said it "anticipates that sales will stabilize" and maintained its full-year outlook unchanged, saying it still expected a pre-tax profit of less than 500 million euros.

On Feb. 10, the world's biggest steel group, ArcelorMittal published its 2009 results and also gave a prudent outlook for this year.

Steelmakers have been slammed by the global economic slowdown and are now just beginning to fire up furnaces that were idled owing to a sharp fall in demand.

Copyright Agence France-Presse, 2010

Popular Sponsored Recommendations

How Manufacturers Can Optimize Operations with Weather Intelligence

Nov. 2, 2023
The bad news? Severe weather has emerged as one of the biggest threats to continuity and safety in manufacturing. The good news? The intelligence solutions that build weather ...

How to Build Zero-Cost On-Site Solar and Storage Projects

Nov. 25, 2023
The Inflation Reduction Act offers tax credits, incentives, and financing that enable no-cost projects. In Enel’s eBook, discover the critical role that incentives play in your...

Gain a competitive edge with real-world lessons on private 5G networks

Nov. 16, 2023
The use of private networks in manufacturing applications is rapidly growing. In this paper, we present valuable insights and lessons learned from the field with the goal of enhancing...

Digitally Transforming Data and Processes With Product Lifecycle Management

Oct. 29, 2023
Manufacturers face increasing challenges in product development as they strive to consistently deliver improved results. Discover how industry leaders are improving time-to-market...

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!