ArcelorMittal Reports USD 4 Billion Net Income in Q2 of 2021
ArcelorMittal ArcelorMittal

ArcelorMittal Reports USD 4 Billion Net Income in Q2 of 2021

World’s leading steel maker ArcelorMittal has announced significantly improved operating performance in Q2 of 2021, with the continuing

World’s leading steel maker ArcelorMittal has announced significantly improved operating performance in Q2 of 2021, with the continuing demand recovery supporting a further positive evolution of steel spreads and 2.4% sequential increase in steel shipments to 16.1 million tonnes. Q2 operating income of USD 4.4 billion compares to USD 2.6 billion in Q1 of 2021; 1H 2021 operating income of USD 7.1 billion. EBITDA of USD 5.1 billion in Q2 of 2021, the strongest quarter since 2008 and 55.8% higher than Q1 of 2021; H1 BITDA of USD 8.3 billion represents the strongest half year performance since 2008. Net income was USD 4.0 billion in Q2 2021 vs. USD 2.3 billion in Q1 of 2021; 1H 2021 net income of USD 6.3 billion represents the strongest half year performance since 2008

ArcelorMittal Chief Executive Officer Mr Aditya Mittal said “The second quarter has seen a continued strong recovery backdrop alongside a sustained lean inventory environment. This resulted in even healthier spreads in our core markets than in the first three months of the year, supporting the best quarterly and half year result we have reported since 2008. This has enabled us to further improve our balance sheet and deliver on our commitment to return cash to shareholders. Our performance is clearly very welcome after the unprecedented disruption the business and our people faced in 2020.”

NAFTA segment crude steel production increased by 4.5% to 2.3 million tonne in 2Q 2021 as compared to 2.2 million tonne in 1Q 2021 following an improvement in demand and the recovery of Mexican operations post disruptions due to severe weather in the prior quarter. Steel shipments in 2Q 2021 increased by 3.2% to 2.6 million tonne, as compared to 2.5 million tonne in 1Q 2021.

Brazil segment crude steel production increased 3.8% to 3.2 million tonne in 2Q 2021 as compared to 3.0 million tonne in 1Q 2021, and was significantly higher as compared to 1.7 million tonne in 2Q 2020 when production was adapted to match the reduced demand levels driven by the COVID-19 pandemic. Steel shipments in 2Q 2021 increased by 3.3% to 3.0 million tonne as compared to 2.9 million tonne in 1Q 2021, primarily due to a 5.6% increase in flat product shipments (with increased exports), and higher long products shipments (up +0.8%). Steel shipments were 44% higher in 2Q 2021 as compared to 2.1 million tonne in 2Q 2020 due to both higher flat and long products.

Europe segment crude steel production was 3.2% lower at 9.4 million tonne in 2Q 2021 as compared to 9.7 million tonne in 1Q 2021 and higher as compared to 7.1 million tonne in 2Q 2020 (which was impacted by weak demand due to the COVID-19 pandemic). Steel shipments in 2Q 2021 decreased by 8.0% to 8.3 million tonne as compared to 9.0 million tonne in 1Q 2021.

ACIS segment crude steel production in 2Q 2021 was 10.9% higher at 3.0 million tonne as compared to 2.7 million tonne at 1Q 2021 primarily due to improved production performance in South Africa. Crude steel production in 2Q 2021 was 52.1% higher as compared to 2.0Mt in 2Q 2020 primarily due to COVID-19 related lockdown measures implemented in South Africa in 2Q 2020. Steel shipments in 2Q 2021 increased by 8.0% to 2.8 million tonne as compared to 2.6 million tonne as at 1Q 2021, mainly due to improved production performance as described above.

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