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Thyssenkrupp's steel businesses increase sales volume

Thyssenkrupp Steel Europe reported an increase in deliveries in its third fiscal quarter to June, but a decrease in revenue and profit due to lower selling prices.

Thyssenkrupp's steel businesses increase sales volume

Thyssenkrupp AG's steelmaking division increased order intake by 4% y-o-y to 3.2 billion euros ($3.5 billion), mainly due to "significantly higher order volumes" from the automotive industry.

Despite the increase in shipment volumes, revenue was 9% below the previous quarter at €3.3 billion. Lower spot market prices weighed, but the company's large share of long-term contracts had an offsetting effect. Shipments reached 2.6 million tons, driven by higher orders from the automotive industry and increased deliveries to trade and steel service centers.

Due to lower earnings compared to the previous year's quarter, adjusted EBIT amounted to EUR 190 million, down from EUR 376 million a year earlier. An internal restructuring as well as lower raw material and energy costs had a mitigating effect.

Meanwhile, Material Services, the steel and metal distribution division of thyssenkrupp AG, reduced its order intake to €3.3 billion from €4.1 billion a year earlier due to "as expected" lower prices.

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