Turkey: Erdemir Group liquid steel, finished steel output up in CY'21

Turkey's leading scrap consumer and steel producer, the Erdemir Group, released its CY'21 results. The leading mill registered 9.20 million tonnes (mnt) of liquid steel output last calendar. Production volume increased by 5.7% y-o-y against 8.70 mnt in the corresponding period last year (CPLY), as per the company annual report of CY'21.

In Q4CY'21, the company's production reached to 2.25 mnt, up by 8% y-o-y as compared to 2.08 mnt in Q4CY'20. However, on a quarterly basis, a drop of 4.3% was noticed against 2.35 mnt in Q3CY'21.

Finished steel production edges up: The company's finished steel production increased by 1.45% y-o-y in CY'21 to 8.37 mnt as compared to 8.25 mnt last year. Out of the total steel output, 5.6 mnt comprised hot rolled coils (HRCs), 1.9 mnt were cold rolled coils (CRCs) and the balance 0.85 mnt comprised finished longs.

Finished steel production in Q4CY'21 was recorded at 2.11 mnt, similar to the previous quarter.

Rise in share of steel exports: Steel exports amounted to 1.59 mnt in CY'21 compared to 1.4 mnt in CY'20 and sales share accounted for 19.3% on a yearly basis. Around 502,000 t were exported in Q4CY'21 against 472,000 t in Q3CY'21.

Financial results:

• EBITDA was recorded at $3,021 million in CY'21 and $931 million in Q4CY'21.
  
  
• Net profit stood at $1.742 million in CY'21 and $409 million in Q4CY'21.
  
  

Turkey steel industry highlights

• Turkey's total finished steel production (flats and longs) in CY'21 rose by 12.5% y-o-y to 41.4 mnt as against 36.8 mnt in CPLY.
  
  
• Steel consumption in CY'21 stood at 33.4 mnt, a 13.2% y-o-y growth over CPLY.
  
  
• The country's steel exports in CY'21 reached 19.9 mnt, up 19.9% y-o-y. On the other hand, steel imports saw a hike of 23.2% to 15.4 mnt in the same period.