Finnish stainless steel manufacturer Outokumpu announced its financial results for the second quarter and first half of the year.
The company recorded a net loss of 55 million euros in the third quarter, compared with a net loss of 19 million euros in the previous quarter and a net profit of 20 million euros in the same quarter last year. In the quarter, the company's sales revenue decreased 12.6 percent quarter-on-quarter and 14.5 percent year-on-year to 1.29 billion euros. In the third quarter of this year, the company's adjusted EBITDA was €34 million.
In the January-September period, the company recorded a net loss of €72 million, compared with a net loss of €8 million in the same period the previous year, while the company's sales revenue for the first nine months of this year fell five percent year-on-year to €4.31 billion. For the period, Outokumpu's adjusted EBITDA was 150 million euros, compared with 180 million euros in the first nine months of 2024.
Outokumpu's stainless steel shipments in the third quarter of this year fell 10.6 percent quarter-on-quarter and 5.9 percent year-on-year to 432,000 tonnes, while in the first nine months of this year the company's stainless steel shipments fell increased by one percent year-on-year to 1.38 million tonnes.
Katie ter Horst: Demand remains weak amid import pressure
On the stainless steel market, Katie ter Horst, CEO of Outokumpu, said underlying demand for stainless steel continues to remain weak due to low investment and production activity, as well as weak consumer confidence. In addition, the European stainless steel market has been saddled with large volumes of cheap Asian imports for some time. Horst expressed her gratitude for the European Commission's decision to improve the industry's competitiveness in its domestic market by proposing the introduction of more effective protection measures as part of the Steel and Metals Industry Action Plan. Outokumpu wants to level the playing field for the European steel industry and will support the continuation of the green transition in Europe.
The company said its stainless steel shipments in the fourth quarter are expected to decline by 5 to 15 percent compared to the third quarter, mainly due to continued market weakness in the Europe business zone and a seasonal slowdown in the Americas business zone.
U.S. ferrochrome investment in amounting to 45 million US dollars
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