German steel maker thyssenkrupp has got off to a good start in the new fiscal year. Thyssenkrupp AG CFO Mr Klaus Keysberg said “We had a good first quarter. Thyssenkrupp’s turnaround is in full swing. We have made important progress in improving our performance and focusing our portfolio. But we're not where we want to be yet - that's why we're not letting up and are continuing to work flat out on our plan. Our next big milestone is balanced cash flow. This corresponds to our forecast for the current fiscal year, which we unequivocally confirm.”In the 1st quarter of 2021/2022, the group of companies was able to book incoming orders totaling EUR 10.4 billion. This corresponds to an increase of 33% or EUR 2.6 billion compared to the same period of the previous year. From October to December, sales increased by 23% and amounted to EUR 9 billion for EUR 7.3 billion in previous year. Adjusted EBIT was EUR 378 million and was thus also significantly higher than the prior-year figure of EUR 78 million and also above the previous quarter of EUR 232 million. Drivers were positive effects from performance measures and rising revenues, particularly at Materials Services, Steel Europe and Multi Tracks. The business of Steel Europe was affected in the 1st quarter by the delivery bottlenecks and the associated weak customer call-offs, particularly from the automotive and supplier industries. Both the volume of incoming orders and shipments were down on the previous year. Overall, however, higher prices led to an increase in order intake of 3 percent to EUR 2.5 billion and in sales of 39 percent to EUR 2.7 billion. Despite sharp increases in raw material and energy costs, adjusted EBIT improved significantly to EUR 124 million (prior year: EUR 20 million), in particular due to the noticeable increase in average revenues. This also includes positive effects from ongoing restructuring and ongoing performance measures in the course of implementing the "Steel Strategy 20-30".In total, thyssenkrupp has pushed ahead with four transactions in the past few months and thus continued to focus the portfolio: In July 2021, the sale of the mining business was signed. The Carbon Components and Infrastructure business units were sold in August and November 2021 respectively. In addition, the heavy plate plant in Duisburg was closed. At the end of January 2022, thyssenkrupp completed the sale of the stainless steel plant in Terni, Italy, including the associated sales organization, to Arvedi of Italy.Thyssenkrupp has its forecast for the full year 2021/2022confirmed: The Group continues to expect a significant year-on-year improvement in adjusted EBIT to between EUR 1.5 billion and EUR1.8 billion.
German steel maker thyssenkrupp has got off to a good start in the new fiscal year. Thyssenkrupp AG CFO Mr Klaus Keysberg said “We had a good first quarter. Thyssenkrupp’s turnaround is in full swing. We have made important progress in improving our performance and focusing our portfolio. But we're not where we want to be yet - that's why we're not letting up and are continuing to work flat out on our plan. Our next big milestone is balanced cash flow. This corresponds to our forecast for the current fiscal year, which we unequivocally confirm.”In the 1st quarter of 2021/2022, the group of companies was able to book incoming orders totaling EUR 10.4 billion. This corresponds to an increase of 33% or EUR 2.6 billion compared to the same period of the previous year. From October to December, sales increased by 23% and amounted to EUR 9 billion for EUR 7.3 billion in previous year. Adjusted EBIT was EUR 378 million and was thus also significantly higher than the prior-year figure of EUR 78 million and also above the previous quarter of EUR 232 million. Drivers were positive effects from performance measures and rising revenues, particularly at Materials Services, Steel Europe and Multi Tracks. The business of Steel Europe was affected in the 1st quarter by the delivery bottlenecks and the associated weak customer call-offs, particularly from the automotive and supplier industries. Both the volume of incoming orders and shipments were down on the previous year. Overall, however, higher prices led to an increase in order intake of 3 percent to EUR 2.5 billion and in sales of 39 percent to EUR 2.7 billion. Despite sharp increases in raw material and energy costs, adjusted EBIT improved significantly to EUR 124 million (prior year: EUR 20 million), in particular due to the noticeable increase in average revenues. This also includes positive effects from ongoing restructuring and ongoing performance measures in the course of implementing the "Steel Strategy 20-30".In total, thyssenkrupp has pushed ahead with four transactions in the past few months and thus continued to focus the portfolio: In July 2021, the sale of the mining business was signed. The Carbon Components and Infrastructure business units were sold in August and November 2021 respectively. In addition, the heavy plate plant in Duisburg was closed. At the end of January 2022, thyssenkrupp completed the sale of the stainless steel plant in Terni, Italy, including the associated sales organization, to Arvedi of Italy.Thyssenkrupp has its forecast for the full year 2021/2022confirmed: The Group continues to expect a significant year-on-year improvement in adjusted EBIT to between EUR 1.5 billion and EUR1.8 billion.
