ter info:
outlook bij rapportage 2014
Outlook and guidance:
The Company expects Group EBITDA to be within the range of $6.5 billion to $7 billion for 2015
Steel segments: Overall, steel markets continue to grow, in particular for our high value-added products; a forecast 4-5% increase in shipment volumes (approximately half of which follows the Newcastle reline completion and full year impact of the restart of BF#3 in Tubarao, Brazil) together with improved cost performance are expected to offset the impact of lower transaction prices and the impacts of translation
Mining segment: Assuming current market conditions, in excess of one-third of the impact of lower iron ore prices on revenues will be offset by improved cost performance including the benefits of foreign exchange, energy and freight as well as higher volumes
Additionally, the Company expects net interest expense to decline to approximately $1.4 billion and capital expenditure to decline to approximately $3.4 billion in 2015
As a result, at the bottom end of the guidance range the Company would expect to be free cash flow positive. While net debt is expected to follow a normal seasonal pattern, overall progress towards the medium term net debt target of $15 billion is anticipated during the course of 2015
Financial highlights (on the basis of IFRS[1]):
(USDm) unless otherwise shown 4Q 14 3Q 14 4Q 13 2H 14 1H 14 2H 13 12M 14 12M 13
Sales 18,723 20,067 19,848 38,790 40,492 39,491 79,282 79,440
EBITDA 1,815 1,905 1,910 3,720 3,517 3,623 7,237 6,888
Operating income / (loss) 569 959 (36) 1,528 1,506 441 3,034 1,197
Net income / (loss) attributable to equity holders of the parent (955) 22 (1,227) (933) (153) (1,420) (1,086) (2,545)
Basic earnings / (loss) per share (USD) (0.53) 0.01 (0.69) (0.52) (0.09) (0.81) (0.61) (1.46)
Own iron ore production (Mt) 16.7 15.8 15.4 32.5 31.4 30.3 63.9 58.4
Iron ore shipped at market price (Mt) 9.9 10.0 10.3 19.9 19.8 19.7 39.8 35.1
Crude steel production (Mt) 23.2 23.9 23.0 47.1 46.1 46.2 93.1 91.2
Steel shipments (Mt) 21.2 21.5 20.5 42.7 42.4 41.2 85.1 82.6
EBITDA/tonne (US$/t) 86 89 93 87 83 88 85 83
Commenting, Mr. Lakshmi N. Mittal, ArcelorMittal Chairman and CEO, said:
“Stronger steel demand, particularly in our core markets of Europe and the US, drove an 8.5% improvement in 2014 underlying EBITDA, despite the lower iron-ore price. The business benefited from a 3% increase in steel shipments, an increase in marketable iron-ore shipments, and the result of cost optimization and restructuring efforts. Net debt reached $15.8 billion, the lowest level since the onset of the economic crisis, demonstrating continued progress towards our medium term target of $15.0 billion. For 2015, although operating conditions remain tough we expect steel markets to continue to improve, particularly for high value-added products such as automotive, where ArcelorMittal is a world leader.”