HONG KONG (Yosefardi) – Chongqing Iron & Steel Co Ltd, one of the largest steel producers in China, booked net loss of RMB1.7 billion in January-September 2013, extended 45% from the corresponding period of 2012 on squeezed margins.
Chongqing reported sales revenue of RMB14.01 billion in the period, down slightly by 1.79%, mostly due to the continued slump in the steel market and a sharp drop in sales price of steel products.
“Though the prices of fuels and raw materials, including iron ore and coal, saw certain decline, it was still not sufficient to offset the decline in selling prices,” Chongqing argued.
The company expects to record a net loss at the end of the next reporting period as the steel market has not seen a fundamental recovery.