Klöckner & Co expects increased sales in Europe
Klöckner Steel Distribution Group & Co expects a gradual recovery in demand and increased shipments in the second quarter of this year, especially in Europe.
His forecast regarding events in Europe and the Americas is cautiously optimistic. In the main consumer industries on both continents – construction, transport engineering, and energy – the company expects growth of 1-2%.
In the second quarter, the company expects a slight increase in shipments and a significant increase in revenue compared to the previous quarter.
In the first quarter, shipments totaled 1.1 million tons, which is 6.4% less than in the previous quarter. However, this decrease is primarily due to the liquidation of eight distribution centers in the United States, completed at the end of 2025. On a comparable basis, sales increased by 2.1% year-on-year.
The decline in the American segment of Kloeckner Metals was partially offset by the positive development of the European segment of Kloeckner Metals. Here, the group achieved 4.3% sales growth, "which is a surprisingly positive indicator after three years of recession," chief executive Guido Kerkhoff said during an online conference followed by Kallanish.
The group's revenue for the first three months was 1.6 billion euros ($1.9 billion), down 5.9% from the same period last year, mainly due to lower supply volumes. Adjusted for asset sales, revenue increased by 2.1%.
Operating profit (Ebitda) before significant special effects increased by 5% compared to the same period last year to 46 million euros, including significant positive contributions from the remaining traditional European markets - Germany and Switzerland.
Author: Christian Kel
Kallanish.com