UOB expert Kay Hian Research predicts an exceptionally strong earnings season for steel companies in the third quarter (Q3) of this year. This is due to the continuing rise in steel prices during the month.
“Assuming the costs of fundraising are reasonably controlled, some steel companies' third-quarter earnings could at least replicate the exceptionally strong first-quarter earnings.”
“Margins may increase in the third quarter as steel prices in August increased 12.1% over August last year, offsetting the rise in coal prices,” the research house said.
“We believe that margins will also improve thanks to strong third-quarter sales,” added UOB Kay Hian.
Steel Companies Expected Exceptional Q3 Profits
There are no comments yet.