Mexico’s Altos Hornos de Mexico (Ahmsa), is in the last phase of negotiations to sell its operations to other steelmakers the company said while releasing its 2019 earnings and sales report.
The steelmaker’s production fell by 40pc in 2019 from an output of 4.52mn mt in 2018. The company said that its production and financial losses during the year were driven by an order from the Mexican government to block all its accounts and freeze its funds amid a corruption probe in May 2019.
In Q4 2019, the company’s net sales reached 10.2bn pesos ($525mn), down by 36.8pc compared to the same period in the prior year.
It reported a net loss of 7bn pesos ($361mn) and an operating loss of 6.7bn pesos ($345.4mn) during the year and a loss in EBITDA of 2.5bn ($130.7mn) in 2019, the company said in a statement to Mexico’s stock exchange. Ahmsa reported a net loss of 1.9bn pesos ($97.9mn) in the Q4 2019.