33 steel companies lost 30% in the first half

As of August 31, the semi-annual report of 33 listed steel companies has been announced. According to Wind statistics, the total operating income of the 33 steel enterprises was 64,510 million yuan, compared with 670,249 million yuan in the same period of last year; and in terms of net profit, the total net profit of 33 steel enterprises was 2,180 million yuan, compared with 3,731 million yuan in the same period of last year. The two data were reduced by 3.75% and 43.5% respectively.

In terms of corporate losses, 23 of the 33 steel companies achieved profitability, among which Baosteel ranked first in net profit, reaching 3.154 billion yuan. There were 10 steel companies with net profit losses and 30% loss. The total net loss of these 10 steel companies was 4.707 billion yuan. The most serious loss was Chongqing Iron & Steel, with a loss of 945 million yuan.

In this regard, my steel network analyst Xu Xiangchun said in an interview with reporters: “In the first half of the year, crude steel production only increased by 3%. Deducting export steel, domestic steel demand is basically in a state of standing still, while the steel product price phase Compared with the same period of last year, it fell sharply to 8.5%, which is the main reason for the decrease in operating income and net profit. The steel industry is still difficult to improve in the second half of the year.”

According to the statistics of the China Steel Association, in the first half of the year, domestic large and medium-sized steel enterprises realized sales of 1,813.054 billion yuan, an increase of 1.12% year-on-year, and a profit of 7.48 billion yuan, an increase of 4.276 billion yuan. At the same time, however, the main business of large and medium-sized iron and steel enterprises still suffered losses of 660 million yuan, and the financial expenses grew too fast, resulting in a substantial increase in accounts receivable.

In this regard, Xu Xiangchun said, “The decline in iron ore prices is far greater than the decline in steel prices, which also directly led to the profitability of steel enterprises this year is better than last year. From the perspective of the entire industry, the steel industry's profit level is increased” .

Xu Xiangchun said at the same time, “In the case where the entire industry is at a meager profit, the degree of differentiation in the operation of various steel companies in the industry has gradually intensified. Leading companies such as Baosteel, can still maintain a high level of profitability and strong product competitiveness.

On the contrary, some steel companies with relatively poor operating standards are still increasing their production at a loss, but this will increase the risk of business operations, and the companies will fall into a vicious cycle, dragging down the entire industry. leg. ”

The state has intensified efforts in environmental protection monitoring and requirements, and has been extremely resolute in the elimination of excess capacity and outdated production capacity. The steel enterprises under the industry's “winter season” are a bit more desolated.

However, in Xu Xiangchun’s view, in the long-term, the current pain and pressure of steel is for the recovery and rise of the future. “The strengthening of environmental protection supervision has little effect on those steel companies that pay attention to environmental protection, but they ignore them. Green steel companies are undoubtedly a headache."