Business booms for German steel giant

12th August 2004, Comments 0 comments

12 August 2004 , DUSSELDORF - German steel concern ThyssenKrupp said Thursday that booming world demand had given the company double-digit growth in new orders, in turn boosting profits performance by an estimated 50 percent. Reporting results for the steelmaker's third quarter that ended 30 June, ThyssenKrupp chairman Ekkehard Schulz predicted that the company's pre-tax profits would finish the year strongly. Pre-tax earnings are seen approaching some EUR 1.5 billion compared with EUR 905 million last ye

12 August 2004  

DUSSELDORF - German steel concern ThyssenKrupp said Thursday that booming world demand had given the company double-digit growth in new orders, in turn boosting profits performance by an estimated 50 percent.

Reporting results for the steelmaker's third quarter that ended 30 June, ThyssenKrupp chairman Ekkehard Schulz predicted that the company's pre-tax profits would finish the year strongly.

Pre-tax earnings are seen approaching some EUR 1.5 billion compared with EUR 905 million last year, he said.

"We now aim to come as close as possible to our medium-term target of EUR 1.5 billion ," Schulz said.

Turnover for the year is foreseen at around 38 billion euros, up from EUR 36.1 billion in 2002-2003.

Amid the surging demand for steel, ThyssenKrupp has again been able to raise its prices, for the fourth time this year, Schulz said. For deliveries from October onwards, prices could be increased by as much as EUR 50 per ton, depending on the product.

In the third quarter ending 30 June, ThyssenKrupp's new orders surged 18 percent to EUR 10.6 billion.

Pre-tax profits, at EUR 488 million, were well more than double the EUR 218 million in the same quarter last year. The net surplus rose to EUR 274 million, compared with EUR 214 million last year.

For the first nine months, ThyssenKrupp's pre-tax profits had gone beyond EUR 900 million, up some 50 percent from the EUR 606 million in the same 2002-2003 period. The net surplus for the nine months reached EUR 640 million, up from EUR 426 million.

German investors welcomed the ThyssenKrupp figures. On the Frankfurt Stock Exchange Thursday company shares were trading almost 3 percent higher at EUR 14.51 at a point when overall, the 30-share DAX was running some 0.5 percent lower.

DPA

Subject: German news
 

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