(Bloomberg) -- ArcelorMittal SA, the world's biggest steelmaker outside of China, remains positive on the medium to long-term outlook for demand after first-quarter earnings beat estimates.
The company kept its forecast for apparent consumption of steel outside of China โ a key barometer of the world economy โ unchanged from three months ago.
โAlthough overall economic sentiment remains subdued, we expect apparent steel demand ex-China to grow between +3% and +4% this year and are well positioned to benefit from this improvement,โ Chief Executive Officer Aditya Mittal said in a statement on Thursday.
ArcelorMittal said it's positioned for a recovery in demand after margins across the steel sector were squeezed last year. The global market was hampered as the manufacturing and construction sectors languished in the face of China's rolling property crisis and weak growth in many of the world's biggest economies.
Average steel selling prices rose 4.8% from the fourth quarter of last year, ArcelorMittal said.
โThe improved pricing environment combined with recovering volumes resulted in sequentially stronger quarterly results,โ the CEO said.
The company reported first-quarter earnings before interest, taxes, depreciation and amortization of $1.96 billion, compared with an analyst consensus of $1.71 billion.
That will be a welcome relief for ArcelorMittal after a bruising 12 months. The company was forced to sell its Kazakhstan business last year after a catastrophic mining disaster killed 46 workers and in February, the steelmaker saw its Italian business seized by the country's government.
(Updates with prices in fifth paragraph)
More stories like this are available on bloomberg.com
ยฉ2024 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories โ On NDTV Profit.
