EANS-Adhoc: Salzgitter Group specifies its profit guidance for the financial year 2012
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ad-hoc disclosure pursuant to section 15 of the WpHG transmitted by euro
adhoc with the aim of a Europe-wide distribution. The issuer is solely
responsible for the content of this announcement.
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SALZGITTER AG
26.06.2012
The economic outlook for Germany and the eurozone as a whole has deteriorated
further due to the severe problems caused by Europe's debt crisis. This
development falls markedly short of the expectations underlying the profit
guidance released by the Salzgitter Group on May 15, 2012.
Against this backdrop, many steel processors and stockholding steel traders are
expecting business to stagnate. Having replenished their stocks in the first
quarter, they have now adopted a wait-and-see stance. This has had a notably
negative impact on the demand for rolled steel. The pressing necessity of
raising prices to counteract the in part exchange-rate induced persistently high
level of raw material costs now only seems possible in the third quarter of
2012. Under these circumstances, breakeven can no longer be anticipated for the
Salzgitter Group's Steel Division this year. If, however, international demand
for German industrial goods remains healthy -and particularly given the
currently moderate inventories of rolled steel- it is feasible that the steel
market might stage a recovery in late summer.
In contrast, the other Tubes, Trading, Services and Technology divisions are
developing in line with the results forecasts in May.
We continue to anticipate stable sales at minimum and a positive pre-tax result
for the Salzgitter Group in the lower- to mid-double-digit million euro range.
As in recent years, we make reference to the fact that opportunities and risks
from currently unforeseeable trends in selling prices, input material prices and
capacity level developments, as well as changes in the currency parity, may
considerably affect performance in the course of the financial year 2012. The
resulting fluctuation in the consolidated pre-tax result may be within a
considerable range, either to the positive or to the negative.
end of ad-hoc-announcement
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Disclaimer: Some of the statements made in this report possess the character of
forecasts or may be interpreted as such. They are made upon the best of
information and belief and by their nature are subject to the proviso that no
unforesee-able deterioration occurs in the economy or in the specific market
situation pertaining to the division companies, but rather that the underlying
bases of plans and outlooks prove to be accurate as expected in terms of their
scope and timing. The company undertakes no obligation to update any
forward-looking statements.
Further inquiry note:
Investor Relations
+49 (0) 5341/21-3783kleinermann.b@salzgitter-ag.de
end of announcement euro adhoc
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issuer: Salzgitter AG
Eisenhüttenstraße 99
D-38239 Salzgitter
phone: +49 (0) 5341-21-3783
mail: info@salzgitter-ag.de
WWW: http://www.salzgitter-ag.de
sector: Iron & Steel
ISIN: DE0006202005
indexes: Midcap Market Index, MDAX, CDAX, Classic All Share, Prime All Share
stockmarkets: free trade: Hannover, Berlin, München, Hamburg, Düsseldorf,
Stuttgart, regulated dealing/prime standard: Frankfurt
language: English
Original content of: Salzgitter AG, transmitted by news aktuell