ArcelorMittal doubles profits

ArcelorMittal more than doubled its first-quarter earnings on the back of stronger global steel demand, which saw price recovery across the globe.

Earnings before interest, taxes, depreciation and amortization rose to $ 2.23 billion from $ 927 million a year earlier. The figure exceeded the average analyst estimate of $ 2.01 billion. However, the stock retreated 5.2 percent to 6.85 euros as of the state.

“All business units reported improved EBITDA as steel prices responded to higher raw material costs and a significant 5.1 percent increase in supply volumes compared to the fourth quarter,” Chief Executive Officer Lakshmi Mittal said in a statement. "We expect market conditions to be broadly stable in the second quarter."

The outlook for the steel market has improved in recent months. With the exception of China, demand from the world's top steel producers and consumers is likely to grow 2.4 percent this year, up from a 0.7 percent increase in 2016, according to the World Steel Association. The gains are expected in large markets such as the US and Europe, as well as Brazil and Russia after years of cuts.

In the US, the price of hot rolled coil, a reference product, is near its highest level in more than two years. In Europe, prices jumped 82 percent last year.