Steel Mills
October 23, 2015
SSAB Profits Drop Abroad and in US
Written by Sandy Williams
Swedish steel company SSAB posted a loss of SEK 191 million ($22.4 million*) in third quarter. Earnings were down by SEK 600 million ($70.4 million) due to lower margins on heavy plate in North America, the costs of relining the blast furnace in Lulea, and negative currency effects. The company plans to cut approximately 500 jobs at its Ruukki Construction division and production site in Raahe as part of its cost reduction initiative.
SSAB Americas shipments of 505,000 tonnes (556,662 tons) increased 7 percent from second quarter but slipped 10 percent year over year. Lower prices and volumes dropped sales 17 percent year over year to SEK 3.08 billion ($362 million). Compared to second quarter, sales were up 2 percent due to higher volume which was offset by lower pricing.
