Angang forecasts 75% slump in Jan-Sept profits
Oct 17, 2019 17:30
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Shenzhen-listed Angang Steel Co, one of China’s top 10 steelmakers, is warning shareholders to expect a huge 75% fall in net profits for this year’s January-September period to Yuan 1.7 billion ($239 million), according to the company’s preliminary financial report released on October 14. Angang blamed thinner margins and higher costs for the dramatic fall, noting that profits for the July-September quarter alone plummeted by nearly 88% on year to Yuan 297 million.
Though this year has indeed been challenging for the Liaoning-headquartered steelmaker due to slumping steel prices and tepid demand from key customers in the domestic home appliances and auto-manufacturing sectors, Anyang failed to remind shareholders that last year was extraordinarily good and that a major correction this year was almost