German steel maker Salzgitter Group has raised its earnings forecast after a strong first quarter. According to the preliminary figures now available, the Salzgitter Group generated earnings before taxes of EUR 465 million in the first quarter of 2022, thereby notably exceeding current market expectations. This performance was especially attributable to the gratifying results of the Steel Production and Trading business units, as well as to a contribution of EUR 62 million from Aurubis AG. Salzgitter said “In view of the strong first quarter, we lift the earnings guidance for the financial year 2022 and now anticipate earnings before taxes of between EUR 750 million and EUR 900 million. Guidance presupposes that raw material and energy costs as well as steel prices remain at levels seen to date and anticipates the continuing unrestricted availability of natural gas as a prerequisite for maintaining production. We would also point to the currently barely quantifiable forecasting risks in association with the war in Ukraine.”
German steel maker Salzgitter Group has raised its earnings forecast after a strong first quarter. According to the preliminary figures now available, the Salzgitter Group generated earnings before taxes of EUR 465 million in the first quarter of 2022, thereby notably exceeding current market expectations. This performance was especially attributable to the gratifying results of the Steel Production and Trading business units, as well as to a contribution of EUR 62 million from Aurubis AG. Salzgitter said “In view of the strong first quarter, we lift the earnings guidance for the financial year 2022 and now anticipate earnings before taxes of between EUR 750 million and EUR 900 million. Guidance presupposes that raw material and energy costs as well as steel prices remain at levels seen to date and anticipates the continuing unrestricted availability of natural gas as a prerequisite for maintaining production. We would also point to the currently barely quantifiable forecasting risks in association with the war in Ukraine.”
