Latest news with #JohanBODINIER
Yahoo
28-02-2025
- Business
- Yahoo
Vallourec expects shipments rebound in 2nd half of 2025
By Mathias de Rozario and Johan BODINIER (Reuters) -France's Vallourec signalled improvement in deliveries in the second half of 2025 on Thursday, after it reported an expected 24% drop in fourth quarter earnings due to lower steel tube prices in North America. "We have seen prices fall throughout last year, but from a very high base," CEO Philippe Guillemot said in a call with journalists. The group's shares rose more than 5% in early trading, after it said the first half of 2025 would mark the low point for international shipments, with an improvement thereafter. Vallourec, which makes tubing for oil and gas, low-carbon energy and industrial markets, said its quarterly operating earnings before interest, taxes, depreciation and amortization (EBITDA) fell to 214 million euros ($224 million), driven by a 27% drop in the North American tubes business. Analysts at Midcap Partners said the decline was in line with market expectations after both deliveries and prices fell in the tubes business, which is responsible for more that 90% of Vallourec's total revenue. The metallurgical group forecast an operating EBITDA of between 180 million and 215 million euros for the first quarter of 2025, and confirmed it would pay its first dividend in 10 years at 1.50 euros per share. It said it was sticking to its strategy of refocusing on core operations and developing the business towards solutions for energy transition. During the fourth quarter of 2024, Vallourec sold Indonesia-based Logistics Group, specialized in providing integrated port and logistics services, for around 20 million euros. The company, which aims to supply the energy transition industry through its "New Energies" line, said its hydrogen storage solution, dubbed "Delphy", was set to get its first certification in the coming weeks. Guillemot also reiterated that he saw no direct impact on the company from tariffs imposed by the United States. "100% of what we sell to our on-shore customers in the United States is produced in the United States," he said. ($1 = 0.9555 euros)
Yahoo
07-02-2025
- Automotive
- Yahoo
ArcelorMittal to build new steel plant in US to meet auto sector demand
By Johan BODINIER and Anna Peverieri (Reuters) - ArcelorMittal said on Thursday that it would build an advanced steel manufacturing facility in Calvert, Alabama, as it seeks to increase its production capacity to meet demand from the U.S. automotive sector. The world's second largest steelmaker said the plant would be able to deliver up to 150 kilotons of premium non-grain-oriented electrical steel (NOES) annually, used primarily in the manufacturing of larger vehicles, full-size pickups and SUVs. The company said demand for sophisticated NOES in the U.S. was growing while domestic supplies were limited, which should support a premium pricing outlook for NOES produced at the new plant. The cost of building the plant is estimated at $0.9 billion, with an expected production start in the latter half of 2027, ArcelorMittal said. New car sales in the U.S. rose to a five-year high in 2024, helped by hybrid models, according to Wards Intelligence. Automakers are expecting the strong sales to continue into 2025, although President Donald Trump's proposed automotive policies, such as removing tax credits for electric vehicles, could present a wild card to the sector. Sign in to access your portfolio
Yahoo
06-02-2025
- Business
- Yahoo
ArcelorMittal sees rising steel demand after strong 4th quarter
By Johan BODINIER and Anna Peverieri (Reuters) - on Thursday forecast improving steel demand for 2025 and said its annual investment budget would be similar to last year's, after its fourth quarter earnings exceeded market expectations. Shares of the world's second largest steelmaker rose 6.6% by 1042 GMT to their highest price since April 2024. "Expectations for profit were weak in Europe. Demand is weak, but the company has been very profitable in Europe, indicative of the resilience of their business," analyst Dominic O'Kane said. ArcelorMittal reported a 13% rise in its quarterly earnings before interest, taxes, depreciation and amortisation (EBITDA) to $1.65 billion, a nearly 8% beat to analysts' consensus provided by the company. "The long-term outlook for the steel industry is positive and our global presence means we have a unique opportunity to prioritize investment in markets where there is a strong outlook for growth and returns," CEO Aditya Mittal said in a statement. The Luxembourg-based company expects to invest between $4.5 billion and $5.0 billion this year, in line with its 2024 plans. Mittal said the primary investment focus would be in Brazil, India and the United States. In a separate statement, ArcelorMittal said it would build a new steel plant in Calvert, Alabama to meet growing demand from U.S. automakers. The group expects global steel demand to grow between 2.5% and 3.5% this year excluding China, the world's top consumer and producer of the metal. It raised its dividend by 10% compared to last year and will pay out $0.55 per share for 2024. ArcelorMittal shipped some 13.5 million metric tons of steel in the fourth quarter, slightly up from the same period in 2023 and from the third quarter. Its Swedish peer SSAB also topped quarterly profit expectations last week, buoyed by resilient demand for its high-strength steel.
Yahoo
06-02-2025
- Automotive
- Yahoo
ArcelorMittal to build new steel plant in US to meet auto sector demand
By Johan BODINIER and Anna Peverieri (Reuters) - ArcelorMittal said on Thursday that it would build an advanced steel manufacturing facility in Calvert, Alabama, as it seeks to increase its production capacity to meet demand from the U.S. automotive sector. The world's second largest steelmaker said the plant would be able to deliver up to 150 kilotons of premium non-grain-oriented electrical steel (NOES) annually, used primarily in the manufacturing of larger vehicles, full-size pickups and SUVs. The company said demand for sophisticated NOES in the U.S. was growing while domestic supplies were limited, which should support a premium pricing outlook for NOES produced at the new plant. The cost of building the plant is estimated at $0.9 billion, with an expected production start in the latter half of 2027, ArcelorMittal said. New car sales in the U.S. rose to a five-year high in 2024, helped by hybrid models, according to Wards Intelligence. Automakers are expecting the strong sales to continue into 2025, although President Donald Trump's proposed automotive policies, such as removing tax credits for electric vehicles, could present a wild card to the sector. Sign in to access your portfolio
