Steel Mills
NLMK USA: Declining Volumes Offset by Higher Pricing
Written by Sandy Williams
November 1, 2016
The NLMK Group reports combines results for its Foreign Rolled Products Segment which includes NLMK USA and six strip and plate production sites in Europe, including NLMK Dansteel in Denmark. NLMK USA is comprised of NLMK Pennsylvania, NLMK Indiana and Sharon Coating.
The segment saw Q3 sales decline to 541,000 tonnes, down 18 percent from Q2 and 8 percent year over year. The decrease was due to softer demand and normalization of inventory in the U.S. and seasonally slower demand in Europe. NLMK USA sales totaled 444,000 tonnes for the quarter.
Revenue for the segment totaled $398 million compared to $400 million in Q2 due to higher prices in the quarter offsetting lower sales volume. EBITDA grew 31 percent to $74 million from second quarter. EBITDA margin of 18 percent was the highest since 2008.
NLMK expects higher costs, supply discipline and ongoing trade actions to support the pricing environment in the U.S. through the end of 2016.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
Steel Summit: Schneider sees SDI ‘on the edge of a very good run’
Steel Dynamics Inc. (SDI) President and Chief Operating Officer, Barry Schneider, remains bullish about the Fort Wayne, Ind.-based steelmaker’s position in the current market.
Steel Summit: Burritt says USS and Nippon are fast-tracking modern steelmaking
U.S. Steel President and CEO David Burritt told audiences at SMU's Steel Summit 2025 that the iconic American steelmaker’s partnership with Nippon Steel is fast-tracking smarter steel production.
Nucor moves to stop HRC price slide with $10/ton hike
Nucor is attempting to halt the decline in hot-rolled coil prices with the announcement of a $10-per-short-ton increase in its weekly consumer spot price on Monday.
Explosion rocks ArcelorMittal’s DR plant in Mexico
ArcelorMittal reported a "strong" explosion at the direct reduction part of its massive Lazaro Cardenas mill in Mexico.
SDI to acquire remaining stake in New Process Steel
Steel Dynamics Inc. (SDI) announced that it has agreed to acquire the remaining 55% equity interest in New Process Steel.