ArcelorMittal increased loss by 3.5 times
In Q1 2015 ArcelorMittal increased its net loss by 3.6 times to $728 mln against Q1 2014 but decreased it by 23% against Q4 2014.
The sales in Q1 made up $17.118 bln, by 13.5% less in annual terms and by 8.6% less against Q4 2014.
EBITDA fell by 21.4% in annual terms and by 24.1% in quarterly terms to $1.378 bln.
The quarterly operational profit of ArcelorMittal fell by 15.3% to $571 mln in annual terms while compared to Q4 the growth is 0.35%.
CEO and chairman of ArcelorMittal, L. Mittal, said the company faced a number of difficulties in Q1 such as the price fall for iron ore, strengthening of a dollar’s rate and growth of steel import in the USA. As a result EBITDA fell to $1.4 bln though the basic profit of the steel business stayed at the level of Q1 2014. Moreover, the results of operation of the European division showed the growth of EBITDA by 15% in annual terms. To smooth the influence of these problems, the company focused on the reduction of expenditure on the extraction of iron ore by 15% and improvement of competiveness in the USA. ArcelorMittal still expects a positive free monetary flow.
