In the first half of 2025, supplies from Polish steel distributor and gas pipeline contractor Stalprofil increased due to domestic demand, but increased costs led to lower profits.
The company's consolidated revenue in the first half of the year increased by 60% compared to the same period last year and amounted to 1.18 billion Polish zlotys ($314.7 million), but net profit fell by 43% to 7 million Polish zlotys due to higher cost of goods and materials sold. The share of domestic sales in revenue increased by 5 percentage points to 95.1%, while the share of exports halved to 4.9%.
Exports were affected by weak demand and falling steel prices in Europe, as well as the strengthening of the zloty against the euro.
"The announced expansion of infrastructure projects in the second half of 2025 should increase the demand for steel, especially for bars, pipes, sheets and profiles. However, it is only in 2026 that the steel market will be able to expect a more noticeable increase in demand," Stalprofil notes in its latest profit and loss statement, reviewed by[b]Kallanish[/b].
Sales of steel products in the first half of the year increased by 25% compared to the same period last year and amounted to 139,703 tons, while sales of steel structures remained unchanged at 1,080 tons.
Sales of pipe insulation related to the company's gas transportation infrastructure segment increased by 180% to 1.18 million square meters. During this period, the group began implementing contracts signed in 2024 for the construction of gas pipelines.
Polish pipe manufacturer Ferrum and ArcelorMittal were the group's largest suppliers, while Ferrum was also its largest customer, followed by gas network operator Gaz-System.
Adam Smith Austria
Kallanish.com
