Chinese nine listed steel enterprises' net profits down in Jan-Sep
2011-11-03 09:06:39 [Print]
BEIJING (Asian Metal) 3 Nov 11 - Among the 23 listed steel enterprises in China, Guangdong Province-based Chinese steel maker Guangzhou Iron and Steel Group Co., Ltd. (Guangzhou Steel) and Hunan Province-based Chinese steel producer Valin Iron & Steel Group Co., Ltd. (Valin Steel) suffered losses in January-September. However, Valin Steel made a net profit of RMB45 million (USD7.08 million) in Q3. In the meantime, 9 out of 21 steel enterprises that recorded profit witnessed a year-on-year decrease in the first three quarters. Sources attribute the profit decline to increasing raw material prices but decreasing finished steel prices.
Meanwhile, statistics of China Customs once showed that the average import iron ore price was USD165.74/t CIF China from January to September, increasing by 35.35 percent year on year. In addition, the price of coking coal was RMB1,695/t at the end of September, rising by 23.27 percent on a year-on-year basis. In addition, the price of metallurgical coke was RMB2,007/t, up by 17.16 percent compared with that of last year. In the meantime, the steel scrap price was RMB3,658/t, increasing by 23.46 percent year on year.
According to vice president of China Iron & Steel Association (CISA), the average sales profit rate of large and medium-sized enterprises was 2.99 percent in January- September, below the industrial level. Meanwhile, the main profit margin was only 1.5 percent if the investment revenue was removed.
Meanwhile, statistics of China Customs once showed that the average import iron ore price was USD165.74/t CIF China from January to September, increasing by 35.35 percent year on year. In addition, the price of coking coal was RMB1,695/t at the end of September, rising by 23.27 percent on a year-on-year basis. In addition, the price of metallurgical coke was RMB2,007/t, up by 17.16 percent compared with that of last year. In the meantime, the steel scrap price was RMB3,658/t, increasing by 23.46 percent year on year.
According to vice president of China Iron & Steel Association (CISA), the average sales profit rate of large and medium-sized enterprises was 2.99 percent in January- September, below the industrial level. Meanwhile, the main profit margin was only 1.5 percent if the investment revenue was removed.
