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September 08, 2008


California Steel reports Q3 2007 results

California Steel Industries Inc has announced its third quarter results for the July to September 2007. Its sales for the period totaled USD 335.4 million, resulting in net income of USD 1.8 million. Net income of USD 1.8 million is lower than third quarter 2006’s net income of USD 33.9 million, and lowers than second quarter 2007's net income of USD 8.2 million. EBITDA for the quarter was USD 13.0 million, compared with 2006's third quarter results of USD 62.9 million.

CSI shipped 438,525 net tons of steel products, a 13% decrease as compared to the third quarter of 2006 and at the same level as second quarter 2007. Net sales are 12% lower than third quarter 2006, although consistent when compared to second quarter 2007. Average sales prices in third quarter 2007 were 4% lower than the same period in 2006 and again consistent with second quarter 2007.

 Q3 '07Q3 '06Change
HR144,137200,635-28.2
CR47,16043,0299.6
Galvanized176,605194,657-9.3
ERW Pipe 70,62366,3266.5
Total 438,525504,647-13.1
(In net tons)

YTD, sales revenues totaled USD 985.9 million, compared with USD 1,049.4 million in 2006. Net income is USD 11.3 million against USD 100.5 million in 2006. EBITDA is USD 50.1 million as compared with 2006's USD 191.8 million.
 J-S '07J-S '06Change
HR467,916631,799-25.9
CR127,102129,902-2.2
Galvanized533,295588,577-9.4
ERW Pipe 186,474170,1519.6
Total 1,314,7871,520,429-13.5
(In net tons)

Mr Masakazu Kurushima president & CEO of California Steel Industries, Inc said that "Third quarter volume and cost levels were not consistent with typical patterns. Slab prices are rising, with worldwide demand, while a soft market for our flat-rolled products continues."