Steel Mills
Essar Steel Algoma Announces Profitable FY 2015
Written by Sandy Williams
July 27, 2015
Essar Steel Algoma announced a return to profitability with income from operations of CDN $76.3 million at the closing of its fiscal year 2015 on March 31, 2015.
“Fiscal 2015 marked a turnaround for Essar Steel Algoma. Through the recently announced Modernization and Expansion Program, we expect to offer a much broader range of advanced steel grades over the next 36 months as we introduce best available technology” says Kalyan Ghosh, Chief Executive Officer of Essar Steel Algoma. “When combined with our return to profitability and low cost model, this investment will put us in a much stronger competitive position.”
The company completed a comprehensive recapitalization and refinancing of US $1.4 billion in FY 2015 that returned it to profitability after a FY 2014 loss of CDN $240.4 million.
“Operationally, the business achieved a CDN $12 per ton reduction year over year in conversion costs while maintaining shipment volumes despite an onslaught of imports and recovering demand,” wrote Essar Steel Algoma in its earnings announcement.
Sales for FY 2015 were CDN $1,984.2 million, up 11.9 percent y/y on shipment volumes of $2.398 million tons. Shipments in the last quarter of the fiscal year were up 10.7 percent year over year.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
Cliffs unveils new hydrogen-powered stainless line in Ohio
CEO Lourenco Goncalves, flanked by state leaders and union reps, touted the project as proof that US manufacturing is not only alive, but also advancing.
Cliffs idles Steelton, Riverdale, and Conshohocken operations
Cliffs has idled facilities in Riverdale, Ill., and Conshohocken and Steelton, Pa.
Radius loss narrows, volumes climb in ‘healthy’ West Coast market
Stronger steel demand in the Western US, rising scrap flows, and improved rolling mill utilization drove sequential gains for Portland, Ore.-based Radius Recycling.
AISI: Raw steel production backs off multi-year high
US raw steel output edged lower last week after hitting a multi-year high in mid-June, according to the American Iron and Steel Institute (AISI).
Private equity firm Atlas Holdings to acquire Evraz North America
Atlas Holdings said it has signed a definitive agreement to acquire Evraz North America (Evraz NA). The Greenwich, Conn.-based private equity firm said it expects the deal for the Chicago-based steelmaker to close in the second quarter of 2025 subject to various closing condition.