Swiss-based special steel producer and distributor Schmolz+Bickenbach has announced its financial results for the first quarter of 2013, reporting a net loss for the period.
In the first quarter, Schmolz+Bickenbach registered a net loss of €7.7 million, compared to a net profit of €19.3 million in the corresponding quarter of the previous year. The company's sales revenues amounted to €867.4 million, falling 15.5 percent year on year. Due to weak demand in the energy sector, the decrease in revenue was more pronounced in North America than in Europe and other regions. During the first quarter, the company's sales volume was 530,000 mt, the highest level of the last four quarters, decreasing by 12.8 percent compared to the first quarter of the previous year.
Schmolz+Bickenbach stated that the first quarter of 2013 exceeded its expectations and the company expects that the second quarter will help it outperform the second half of 2012. Regarding 2013, Schmolz+Bickenbach expects revenue to match the previous year's level, while the market environment is set to remain challenging. The company will continue with its restructuring and cost-cutting program in 2013. Around two thirds of planned cost cuts will take effect this year, particularly in the second half.
