European Metal Recycling Ltd.s (EMRs) profits were
more than halved in 2012 as the company wrestled with the same
host of issues negatively impacting recyclers across the
totaled £31.58 million ($50.77 million), down 61.3
percent from £81.66 million the previous year, according
to the Warrington, England-based companys financial
statements, which were made available only recently.
described 2012 as difficult, with global and market forces
working together to adversely impact the companys
performance. Demand and pricing were weighed down in the United
States by the "fiscal cliff" issue.
The recycler noted
that low scrap levels and an overcapacity of processors, mostly
shredders in the United States, worked to erode ferrous and
nonferrous scrap margins.
Gross profits for 2012
fell 12.5 percent to £373.34 million ($600.39 million)
from £426.84 million the previous year despite a
5-percent increase in turnover to £3.18 billion ($5.12
billion) from £3.03 billion.
in its U.S. facilities during 2012 are expected to reap
benefits. "The investment programs in both the U.S. and U.K.
will become operational during 2013 and early 2014, and will
have clear accretive impact on group profitability," it