Kloeckner announced a doubled expectation on Q2 2021 EBITDA to €260-290mn ($317-354mn) driven by the considerable price increase on finished steel in Europe and US markets. The company estimates its volume flows to be slightly above by 3-6pc against Q1 levels on optimized capacity utilization schedules but the €130-160mn EBITDA expectation, which would have been near a repeat of Q1 2021 on the bottom end of the range, is now doubled.
Improvements in digital sales by around 50pc of total sales are expected to increase the contribution and lower costs. Digital sales were 45pc of total sales in Q1 2021.
Shipments rose by 5.3pc to €1.5 billion in Q1 2021 compared to the same year-ago quarter to achieve an operating income EBITDA of €130mn.