Aperam, the stainless-steel producer spun off by ArcelorMittal, posted a third-quarter loss after it sold less metal and prices fell.
The net loss was $41 million in the period compared with a $2 million profit in the prior three months, the Luxembourg- based company said today in a statement. Revenue slumped 11 percent to $1.52 billion as stainless steel shipments were 18 percent lower.
Earnings before interest, tax, depreciation and amortization declined 39 percent to $62 million, compared with the three months ended June 30. Aperam said earnings in the fourth quarter are expected to be “comparable.”
European stainless-steel producers face overcapacity and higher raw-material costs at the same time as prices of the finished metal decline. Outokumpu Oyj, a Finnish maker of the metal, said last month it plans to cut 1,300 jobs as excess capacity and weaker demand hurt profits.
Aperam has dropped 58 percent in Amsterdam trading since its January market debut.
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