The operating profit of the second largest steel company in the world, ArcelorMittal, was $ 2.6 billion in Q1 2021 against $ 2.0 billion in Q4 2020. Underlying Profit (EBITDA) exceeded $ 3.2 billion, up 88% from Q4 2020 EBITDA and the highest quarterly earnings in a decade. This is stated in the company's press release.
Steel prices rose sharply in the first quarter amid a boom in commodity markets affecting everything from copper to corn.
The largest steelmaker outside of China said it now expects steel demand this year - a key barometer of global economic growth - to be at or above the upper range of its February forecast. Recall that the latest forecast by ArcelorMittal provided for an increase in demand from 4.5% to 5.5% after a decline in 2020 during a pandemic.
“The first quarter of this year was the most successful in ten years,” confirmed the company's new CEO, Aditya Mittal. “Our priorities for the rest of the year and beyond are clear: maintain a competitive cost advantage; strategic growth through high-yield projects in fast-growing markets while leveraging existing infrastructure to develop our iron ore resources; consistent return of funds to shareholders through a defined capital return policy; and ensuring sustainable development ".
Aditya Mittal takes over as head of ArcelorMittal, inheriting the position from his father Lakshmi Mittal this year amid recovering demand in the manufacturing and construction industries facing limited supply. The ensuing boom has pushed steel benchmarks in Europe to their highest level ever, as the economic recovery sparks a surge in commodity markets from iron ore to sawnwood.