New Delhi: Global steel giant ArcelorMittal reported Thursday a net loss of loss of USD 1.9 billion for the quarter ended December.
The world’s largest steel maker had posted a net income of USD 1.2 billion in the year-ago quarter, the company said in a statement. The company reported a ‘net loss attributable to equity holders of the parent’ of USD 1.9 billion in the fourth quarter.
ArcelorMittal follows January to December fiscal year.
For the whole year (2019), the company reported a net loss of USD 2.5 billion as against net income of USD 5.1 billion in 2018.
Revenue in 2019 was at USD 70.6 billion as compared with USD 76 billion in the previous year. Its crude steel production stood at 89.8 million metric tonne (MMT), while own iron ore production was at 57.1 (MMT).
ArcelorMittal Chairman and CEO Lakshmi N Mittal said in a statement, “2019 was a very tough year, clearly reflected in our significantly reduced profitability. However, our cash generation remained strong helping to reduce net debt to the lowest ever level.”
Mittal added: “This demonstrates the contribution of our Action 2020 programme which was designed to ensure ArcelorMittal can be cash flow positive through all aspects of the steel cycle. We expect to make further deleveraging progress this year.”
With the acquisition of Essar Steel India in partnership with Nippon Steel, the company has secured a new opportunity for the group in the fast-growing Indian market, Mittal stated.
“Although market conditions remain challenging, there are encouraging early signs of improvement particularly in our core markets of US, Europe and Brazil. With inventory levels having reached a very low level following a period of de-stocking, we are seeing customers return to the market, supporting an improved pricing environment,” Mittal said.
PTI