China Knowledge reported that Maanshan Iron & Steel Co Ltd a leading Chinese steelmaker suffered a loss of CNY 468 million in the first quarter of this year whereas it earned CNY 106 million in the same period of 2011.
The company said that the huge loss was due to a larger decline in steel prices than the drop in raw material costs. The steel maker realized CNY 19.50 billion in operating revenue in the first three months down by 4.93%YoY.
Maanshan Iron & Steel produced 4.09 million tonnes of crude steel in the period reflecting a YoY growth of 6.51%. The output of iron and steel products was 4.09 million metric tons and 3.91 million metric tons in the quarter up by 12.67%YoY and 8.31%YoY respectively.
The company earlier reported a net profit of CNY 69.58 million for 2011 down by 93.68%YoY.
Source - China Knowledge