NLMK Cautious on Slab Supply to U.S. Operation

NLMK Group reported a 1 percent increase in first-quarter revenue, to $2.79 billion, as a 5.0 percent seasonal drop in sales was offset by stronger pricing. Net income grew by 17 percent from Q4 to $502 million, driven by higher operating profit.

NLMK USA sales increased 1.0 percent from the fourth quarter on higher demand for hot- and cold-rolled steel and concern over supply disruption. Revenue jumped 5 percent quarter-over-quarter to $43 million due to higher pricing. Average selling prices increased 4.0 percent in the first quarter to $160 per metric ton following the Section 232 announcement.