On August 23rd, Baosteel piblished 2013 semi-annual report, which shows that in the first half year, Baosteel has achieved iron output of 11 million tons, steel output of 11.41 million tons, sales volume of steel products of 11.078 million tons, with a total profit of 5.18 billion yuan, continuing maintain the best operating performance in the domestic industry.
Form this year, facing the low profit situation in the steel industry, Baosteel study and train hard to adapt market demand changes, with actively optimizing the product structure, striving to improve product manufacturing capabilities, and continuing to strengthen cost control. 2013 Baosteel total revenue budget is 171.5 billion yuan, while sales income in the first half year reached 96.3 billion yuan, completing 56% of the annual budget; operating cost budget is 155.9 billion yuan, while the actual operating costs in the first half year is 87.38 billion yuan, reaching 56% of the annual budget. Baosteel in the first-half year achieved consolidated profit of 5.18 billion yuan, dropping 7.16 billion yuan year-on-year, with decrease of 58% due to 9.09 billion yuan benefited from the sale income of the relevant assets of former stainless steel division and former Special Steel Division over the same period last year. Excluding the one-off gain on disposal of assets, the consolidated profit rose 59.6% year-on-year.
Baosteel strong sales service system is the important part of its core competitiveness. During the reporting period, Baosteel further improve sales service system, by the end of the reporting period Baosteel has six regional sales companies and six franchise companies, 54 steel processing and distribution centers, with processing scale up to 7.15 million tons / year; as well as four regional sales companies and 13 sales branches, two machining centers oversea, forming marketing network throughout China and extending overseas .
In the field of technological innovation, Baosteel hot galvanized QP980GI realized a successful trial mass-production, achieving world premiere; B27R090 oriented silicon steel produced by using new auxiliary inhibitor technology is successfully applied to dual-million UHV transmission project, with magnetic performance acceptability dramatically increased; hot rolled high strength steel BS900QC for construction machinery achieved mass production, and passed the customer auditing suchas Loxa and SINSUN. These technological breakthroughs greatly improved Baosteel competitiveness in the corresponding field.
In the aspect of optimizing the product structure, the follow-up project of Baosteel oriented silicon steel has fully put into operation, adding new high-grade non-oriented silicon steel production line, which formed the annual production capacity of 300,000 tons oriented silicon steel and 1.4 million tons non-oriented silicon steel, raising Baosteel production capacity and competitiveness in the high end silicon steel products field; Baosteel completed the comprehensive transformation of power plant, substantial increasing generator efficiency and reducing energy consumption as well as significantly lowering NOx, SO2, dust and other emissions index; Yellowstone company clod rolling expansion project has been comp0leted, newly adding 200,000 tons / year production capacity of ordinary cold rolling products, and further optimizing the structure of Yellowstone company products, improving the company's products competitiveness in the Midwest market.
In the second half year, Baosteel will actively respond to difficulties and challenges, further assigning and implementing every initiatives, striving to maintain the leading operating performance in the domestic industry.
