Hunan Valin Steel Co., Ltd, one of China's top ten state-owned steel producers, expected its net profit attributable to shareholders in the first three quarters to hit the highest for the same period in history, the company said in a performance forecast lately.
Valin Steel expected to bag a total of 7.65-7.85 billion yuan ($1.18-1.22 billion) of profit attributable to shareholders in the first nine months this year, surging 58-62% year on year, with earnings per share at 0.2940-0.3229 yuan.
The company forecast its third-quarter net profit attributable to shareholders at 2.1-2.3 billion yuan, up 16-27% year on year, with earnings per share at 0.2940-0.3229 yuan.
Established in 1997, Valin Group is a provincial state-owned large-scale enterprise by merging Xiangtan Iron and Steel, Lianyuan Iron and Steel, and Hengyang Iron and Steel. It was listed on the Shenzhen Stock Exchange in 1999 and ranked 94th in the Fortune China 500 List in 2020.
Some other major steelmakers, which have published their financial forecast, also showed strong gains.
HBIS Company Limited, a listed company of Hebei Iron and Steel Group (HBIS), earned 2.3-2.4 billion yuan of net profit attributable to shareholders during the first three quarters, surging 98.23-106.85% year on year.
HBIS Resources Co., Ltd., also a listed company of HBIS, forecast a 112.51-128.85% surge in net profit for the same period.
Hangzhou Iron and Steel Group Co., Ltd expected its net profit to surge about 113.59% year on year in the same period.
These companies attributed the robust performance partly to the surge in steel prices that offset the strong increases in raw material costs.
Shanghai HRB 400 rebar (20mm) surged 55.5% from a year ago to 5,830 yuan/t, and Shanghai hot-rolled coil gained 43.9% to 5,800 yuan/t on October 14, data showed.
(Writing by Emma Yang Editing by Harry Huo)
For any questions, please contact us by inquiry@fwenergy.com or +86-351-7219322.