ENP Newswire -
Release date- 25042014 - Comparable net sales in 2014 are estimated to grow compared to 2013.
Comparable operating profit in 2014 is estimated to improve compared to 2013.
'Despite a strengthening of the eurozone Purchasing Managers' Index and GDP development returning to positive at the end of last year, European economic development continued to be uncertain during the first quarter. However, indicators forecasting economic growth were rising in all eurozone countries and predicting a turn for the better. Steel use has, however, decreased significantly during recent years as a result of structural change in the Finnish manufacturing industry. The situation in our home market is worrying.
As regards Ruukki's most important markets, the pace of economic growth in
Ruukki Metals' order intake and net sales were at the same level as a year earlier. Higher order and delivery volumes of special steel products in particular offset the negative impact of lower average selling prices compared to a year earlier. An especially positive note in the first quarter was that net sales of special steels were up 16% year on year and 5% quarter on quarter. A weakening of certain currencies in emerging markets outside
In the construction businesses, development continued to be twofold also during the first quarter of the year. Given market conditions, overall demand for building products was at a very good level. Order intake and net sales for roofing products in particular showed clear growth compared to a year earlier. Demand in commercial and industrial construction continued to be weak, especially in
Comparable operating profit was
Ruukki Building Products broke even during a seasonally difficult first quarter, which in these market conditions can be considered a good performance.
During the report period, growth of special steels was pursued by signing up new customers, launching new products and applications, and by further expanding into new market areas. Compared to the previous year, the results are beginning to be seen in the form of growing order and delivery volumes in many market areas. Compared to the previous quarter, sales of special steel products rose to account for 35% (30) of Ruukki Metals' net sales. The target is to achieve annual sales of special steel products of
In our construction businesses, we will continue our chosen strategy of energy efficient construction. Ruukki Building Products has a good market position in our main markets and we are aiming for profitable growth, especially through energy-efficient building components and residential roofing products. Development of components and solutions to optimise a building's lifecycle energy efficiency is a key aspect. Sales of the new solar thermal products for single-family homes we launched earlier in the year have got off to a good start.
Also in weak market conditions, renovation construction creates growth opportunities for building products. In
We expect demand for steel to pick up slightly in 2014. Nevertheless, demand growth will continue to be limited by overcapacity in the steel markets and slowing economic growth in emerging countries. We expect demand for special steels to outpace demand for standard products, especially in market areas outside
Comparable net sales in 2014 are estimated to grow compared to 2013. Comparable operating profit in 2014 is estimated to improve compared to 2013.
The offer period began on
President & CEO
Tel: +358 20 592 9075
Tel: +358 20 592 9030
News conference for analysts and the media
A joint news conference in English both for analysts and the media will be hosted on Thursday 24 April at
A live webcast of the event and the presentation by the company's President & CEO
+44 207 162 0025 (calls outside
+358 9 2313 9201 (calls inside
Access code: 943088
A replay of the webcast can be viewed on the company's website from approximately
+44 20 7031 4064 (calls outside
+358 9 2314 4681 (calls inside
Access code: 943088
Ruukki specialises in steel and steel construction. We provide customers with energy-efficient steel solutions for better living, working and moving. We have around 8,600 employees and an extensive distribution and dealer network across some 30 countries including the Nordic countries,
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