LONDON Acerinox SAs
2012 financial results were hit by falling nickel prices and
low base price levels for finished stainless products.
Acerinox posted earnings before
interest, taxes, depreciation and amortization (Ebitda) of
197.6 million ($258.5 million), down 42 percent from
340.5 million in 2011 on sales that fell 2.5 percent to
4.55 billion ($5.9 billion) from 4.67 billion.
The Madrid-based company noted,
however, that tonnes sold rose 9.8 percent in the same
comparison, attributing the discrepancy to falling prices,
particularly in Europe.
The companys melt-shop
production rose 8.3 percent to nearly 2.2 million tonnes in
2012, mainly due to international expansion.
Acerinox said that the Spanish
stainless steel market continues to be affected by strong
domestic competition despite improvement in global
The companys North
American Stainless Inc. (NAS) unit in Ghent, Ky., saw 2012
sales volumes rise as revenue fell 11.8 percent from the
previous year on a U.S. dollar basis. The parent company
didnt provide dollar figures for its U.S. subsidiary, but
attributed the decline in revenue to lower prices.
NAS melt shop production
rose 7.6 percent to 1.01 million tonnes last year. Hot-rolled
processing increased 9.4 percent to 853,175 tonnes vs. 2011,
and cold-rolled processing rose 13.3 percent to 664,435
Spot nickel prices on the London
Metal Exchange averaged about $17,526 per tonne ($7.95 per
pound) in 2012, down 23.2 percent from $22,831 per tonne
($10.36 per pound) the previous year, according to
AMMs pricing archives.
Stainless prices fell by a
similar amount. Cold-rolled Type 304 stainless sheet declined
19.4 percent to $142.82 per hundredweight ($2,856 per short
ton) from $177.11 per cwt ($3,542 per ton) in 2011.
AMM staff in New York
contributed to this article.