ArcelorMittal, which also has a presence in India, said on Thursday the net income fell by 69 percent to USD 287 million in the third quarter mainly on account of a decline in steel shipments.
ArcelorMittal follows the January-December calendar as the financial year.
The company said in a statement that for July-September 2023, it clocked USD 929 million "net income attributable to equity holders of the parent".
The company reported net income of USD 504 million in the second quarter of 2024, it said.
ArcelorMittal Chief Executive Officer Aditya Mittal said the medium- and long-term outlook for steel is positive and would continue to tap its unique geographic presence and strong research and development capability in order to meet stakeholders' needs.
Demand is expected to be stronger for the second half of this year than for 2023 and the inventory levels are low, so there is a potential for re-stocking when real demand catches up, he added further. The increased level of imports to Europe is a cause for concern and stronger trade measures are urgently required to tackle this, he said.
Apart from this, Mittal said, "Our free cash flow generation allows us to continue investing in business for strategic growth while returning capital to shareholders. Our first renewables project has commenced operations and is already delivering power to AMNS India from September." During the quarter, the company's crude steel production declined to 14.8 MT from 15.2 MT reported in July-September last year.
Sales declined 3Q 2024 to USD 15.1 billion from USD 16.6 billion in 3Q 2023.
Total steel shipments during the quarter declined to 13.4 MT vs. 13.7 MT during the same period last year.
The company's 60:40 joint venture with Nippon Steel produced 1.7 MT of crude steel during July-September 2024, down from 1.9 MT in the same period last year.
Sales were lower at USD 1.5 billion compared to USD 1.6 billion for the third quarter of last year, primarily due to lower average selling prices of steel.
In India, ArcelorMittal commissioned a green energy project of 1 GW capacity ramp at an investment of USD 0.7 billion for supply to The project has received the requisite grid connectivity clearances and has commenced supplying power to AMNS India effective September 2024.
"The solar/wind project is expected to provide 20 per cent of AMNS India's Hazira plant electricity requirements reducing carbon emissions by 1.5 MT per year, and is estimated to add USD 0.1 billion to ArcelorMittal EBITDA," the statement said.
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