EghtesadOnline: Iran’s largest steel exporter Khouzestan Steel Company recorded a robust growth in its sales value for the first half of the current fiscal year (March 21-Sept. 22), marking a rise of 51.04% to reach 30.4 trillion rials ($781.1 million).
The steelmaker sold a total of 2.02 million tons of slabs, blooms and billets during the six-month period to post a 16.34% year-on-year rise in tonnage, according to the latest data published on Tehran Stock Exchange. Bloom and billet sales made up 1.32 million tons of the figure and slab sales amounted to 697,193 tons.
KSC’s H1 output rose by 5.8% YOY to reach 1.88 million tons, with billet and bloom, and slab production reaching 1.229 million and 652,202 tons respectively.
Khouzestan Steel Company's’s overall H1 growth comes as the company’s sales volume for the sixth month of the year (Shahrivar) took a slight hit–yet covered by the increase in value. Sales amounted to 328,384 tons and dropped 10.83% YOY during the month, indicating that the company sold all its output for the month, Financial Tribune reported.
Meanwhile, sales value increased by 20.01% to earn 5.39 trillion rials ($138.27 million).
Latest statistics on Iran's steel exports indicate that KSC shipped a total of 1.226 million tons of steel products overseas during the first five months of the current Iranian year (March 21-August 22), up 81.4% YOY, according to KSC’s exports manager, Mohammad Hossein Emad.
KSC was the year's biggest exporter.
The steelmaker, located in the southwestern Khouzestan Province, exports to 13 countries. About 50% of its exports are shipped to the Middle East and North Africa region, 40% to the Far East and about 10% to countries in Americas.
The company’s profits in the last fiscal year jumped by over 300% to 6.7 trillion rials ($176.31 million) compared to the previous year, according to KSC's former managing director, Mohammad Reza Modarres Khiabani.
The sharp rise came as KSC became Iran’s biggest exporter of steel last year, overtaking Iran’s largest steelmaker Mobarakeh Steel Company.
KSC exported about 52% of its 3.6-million-ton total output for the year, and plans to increase its output capacity to 5 million tons a year within two years.
Khouzestan Steel appears to be on a fast track to growth, considering the company’s track record over the past four years. In the fiscal 2013-14, KSC exported only 21,000 tons or 6% of its annual output. It reached 627,000 tons or 18% of output the following year, and then in 2015-16, it doubled to 1.364 million tons or nearly 40% of output. Finally, exports hit 1.9 million tons last year.
KSC’s leadership changed on Sunday after about two years, as Mohammad Keshani took the steelmakers’ helm.
Keshani, who replaced Modarres Khiabani, was the managing director of the lead & zinc producer Calcimin Company for two years and also managed Tuka Steel Investment Company. He holds a bachelor’s degree in metallurgy from Sharif University of Technology and a Master’s in public administration, Securities and Exchange News Agency reported.