Chinese manufacturer Jiugang Hongxing’s stainless steel production dropped by 22.8pc at 347,000mt, while its sales declined by 25pc at 331,300mt during the first half of 2020 as compared to the prior-year period, the company said.
The overall steel sales stood at 3.82mn mt for the same period.
The company’s iron, steel, and material production stood at 3.191mn mt, 3.762mn mt, and 4.019mn mt respectively in H1.
The company also suffered a net loss of CNY82.88mn in H1 2020 as compared to a net profit of about CNY769mn in the same period last year.
Its operating revenue declined by 30.49pc at about CNY15.826bn during the first half of 2020 as compared to the same period last year.
The selling price of stainless steel was also lower than last year at CNY9405.13/mt.
However, when compared Q1 2020 to Q2 2020, the company’s steel production, sales, operating income, cash inflows, and net profits were significantly better and it achieved a net profit worth CNY200mn in Q2.
The average price of stainless steel was also higher in Q2 than Q1.
Stainless steel output dropped in Q2 to 155,800mt, while sales rose to 186,700mt during the same period.