NEW YORK OAO TMK expects
its first-quarter results to mirror weak fourth-quarter
numbers, partly due to a challenging U.S. drilling environment,
the company said.
TMK, parent of Downers Grove,
Ill.-based tube and pipe maker TMK Ipsco, recorded 2012 net
income of $282.1 million, down 26.7 percent from $384.7 million
the previous year, on revenue that fell nearly 1 percent to
The Moscow-based company expects
its 2013 results to be similar to those of last year, "with
some upside" as the second half of 2013 will likely outpace the
first, it said.
fourth-quarter net income fell 53.6 percent compared with the
third quarter to $32 million despite revenue that rose 0.9
percent to $1.63 billion.
The Russian steelmakers
Americas division saw revenue fall 14.1 percent quarter on
quarter to $352 million due to lower prices for both welded and
seamless products. That, in turn, was the result of year-end
inventory adjustments and a declining rig count.
However, the Americas
divisions full-year revenue grew nearly 4 percent due to
higher sales of welded oil country tubular goods (OCTG) and
Meanwhile, the companys
sales volumes grew 1.3 percent to nearly 4.24 million tonnes
amid increased shipments for welded and seamless OCTG products.
This was offset by a sharp drop in large-diameter pipe sales,
which occurred because several major pipeline projects were
completed and others were postponed, the company said.
TMKs shipments for the
quarter rose 3 percent sequentially to 1.08 million tonnes, the