The situation of steel enterprise in the last six month

Held on June 29, cisa organization in the second quarter of the steel industry economic symposium, on behalf of the said iron and steel enterprise, iron and steel enterprise management benefit gradually turn for the better in the first half of this year, significantly better than the fourth quarter, most corporate profitability or loss-mitigation compared to the same.

1 - in May, according to cisa, sinosteel association, member of the iron and steel enterprise profit of 8.736 billion yuan, an increase of 7.38 times; Percentage of loss-incurring enterprises 28.28%, fell 13.13% year on year; Return on sales of 0.83%. From the monthly, a turnround in March, profit of 2.745 billion yuan; April and may achieve profit is 8.383 billion yuan and 8.522 billion yuan respectively.

In the first half of the industry production control is more rational, this is one of the reasons for the efficiency improvement. According to statistics, in May, China steel association, member of pig iron and carbon steel pipe enterprise, crude steel, rolled steel production 53.2495 million tons, 54.486 million tons and 54.486 million tons respectively, fell 1.43% year-on-year, down 0.68%, an increase of 0.3%. 1 - may, member of pig iron and steel enterprise, crude steel, rolled steel production 250.872 million tons, 254.7175 million tons and 254.7175 million tons respectively, fell by 2.91%, 2.64% and 2.31% respectively, compared to the drop were greater than the national average.

In addition, iron and steel enterprises in steel prices to calm, take measures actively stabilize prices, malignant price decrease. Enterprises in the aspect of inventory control is more rational. Statistics show that the steel enterprise inventory levels are lower than the same period last year, and basic is from 10% to 20% year-on-year, the overall level is low. In early June, China steel association member mills steel inventories of 14.2 million tons, rose 1.7%, down 12.93% year-on-year.

In addition, from the first half of corporate profits, the income gap between enterprise have a tendency to expand, benefit differentiation is obvious. Iron and steel enterprises still face financing difficulties, heavy historical burden, surplus personnel shunt placement under pressure. The direction for the second half of the representatives think that to practice early steel assistant manager would put forward the "production capacity, production control, protect benefit" policy, to grasp the good production rhythm, and to strengthen market, achieve steady profit, work earnestly implement dissolve excess capacity.

Hunan Great Steel Pipe Co.ltd will insist stable price for our customer.