ArcelorMittal, the world’s largest steelmaker, reported higher-than-expected first-quarter earnings Thursday after it named the most successful quarter in a decade.
The company said it expects global steel demand to grow 4.5–5.5% this year on low inventories following prolonged inventory reductions, increased capacity utilization and stable steel spreads. Excluding China, this growth will range from 8.5% to 9.5%, with a strong rebound expected in India.
The Luxembourg-based company reported first-quarter baseline profit (EBITDA) of $ 3.24 billion, more than triple the $ 967 million a year earlier and above the survey median forecast of $ 2.97 billion company.
“The first quarter of this year was the most successful in a decade,” CEO Aditya Mittal said in a statement.
“We are seeing continued positive market performance in the fourth quarter and are steadily recovering production in line with the recovery in demand, fueled by low inventory levels in the value chain.
The group said it has benefited from a significant rebound in steel demand from the auto industry, resulting in increased steel supply and improved margins.
Iron ore shipments are also expected to be around 39 million tonnes this year, up from 38.2 million tonnes in 2020.