Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

SSAB’s shipments in Q3 2020 are expected to be on par with Q2 2020 in the Americas but could drop in Europe and the special steel division. 


The company, which reported its Q2 2020 earnings on Tuesday said that despite being hit by the pandemic in the previous quarter demand could rise in Q3 2020 even as the Swedish steelmaker continues to operate on a cost-saving mode. SSAB also plans to continue its focus on developing the special steel business and transition into producing fossil-free steel in the next quarter. 


The group’s total shipment in Q2 2020 decreased by 17pc to 1.4mn mt from 1.7mn mt in the same quarter last year and declined by 20pc from 1.8mn mt in Q1 2020.


During Q2 2020, shipments at SSAB’s special steel division decreased by 22pc to 266,000mt from 339,000mt in Q2 2019 and dropped by 13pc from 305,000mt in Q1 2020. SSAB Europe also witnessed a 24pc drop in shipments to 695,000mt in Q2 2020, compared with 909,000mt in Q2 2019. The division’s shipments fell by 28pc from 955,000mt in Q1 2020. 


Shipments at SSAB Americas also declined by 3pc in Q2 2020 to 460,000mt from 475,000mt during the same quarter last year and fell by 13pc from 527,000mt in Q1 2020. Its Tibnor steel division witnessed a 13pc decrease in shipments to 190,000mt from 219,000mt during the same period under comparison and dropped by 15pc from 222,000mt in Q1 2020. 


SSAB’s total sales across the group fell to $1.7bn in Q2 2020 from $2.3bn in the same quarter last year and dropped from $2.1bn in Q1 2020. The company posted a loss of $28.2mn in Q2 2020 compared to an EBITDA of $148mn in Q2 2019 and $39mn in Q1 2020. 

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