Stainless steel producer, Outokumpu expects its deliveries to increase by 10-20pc in the first quarter of 2021 and has projected its adjusted EBITDA to rise from Q4 2020 on recovery in the stainless steel market.
The Finnish company indicated in its 2020 earnings report on Feb 4 that the North American and European stainless steel markets are likely to see a seasonal increase in demand through the year.
Outokumpu’s stainless steel deliveries in 2020 dropped by 3pc to 2.12mn mt compared to 2.19mn mt in 2019. In the fourth quarter, however, stainless steel deliveries increased by 12.5pc to 523,000mt from 458,000mt in Q4 2019 and were up 7pc from 488,000mt in Q3 2020.
The stainless steel maker’s sales in 2020 dropped to €5.6bn ($64mn) from €6.4bn in 2019. In Q4 2020 the firm’s sales declined slightly to €1.35bn from €1.39bn in Q4 2019 but rose from €1.25bn in Q3 2020.
In 2020, Outokumpu’s adjusted EBITDA decreased to €250mn from €263mn while its adjusted EBITDA in Q4 2020 rose to €78mn from €73mn in Q4 2019 and €22mn in Q3 2020.