Arcelor Mittal Q2 profit up 50 per cent at $2.7 billion
01 August 2007
Mumbai: Arcelor Mittal, the world`s largest steelmaker, reported second-quarter net profit of $2.7 billion, or $1.97 a share, on the back of strong demand and higher selling prices for steel. That compares with $1.82 billion, or $1.31 a share, based on figures Arcelor Mittal calculated as if it had existed a year earlier.
Net profit rose about 50 per cent to $2.723 billion on an increase in sales of over 20 per cent at $27.223 billion, the Luxembourg-based company said in a statement.
Earnings before interest, tax, depreciation and amortisation (EBITDA) rose to $5.326 billion from a pro-forma $3.5 billion a year ago.
The steel group, formed last year Mittal Steel`s takeover of its nearest rival Arcelor, also more than delivered promised synergies of $973 million by June 30, ahead of its previous target of $830 million.
The steel giant also said that it would achieve more savings than its $1.8 billion target by the end of 2008 but declined to give a precise figure.
Artcelor Mittal set an EBITDA target of between $4.7 billion and $4.9 billion for the third quarter of the year and said it anticipated "a robust end to the year".