Turkey's IDC States That in 2013 It Expects Demand to Be Positively Affected

Turkish rebar producer Izmir Demir Çelik Sanayi A.Ş. (IDC) has announced its financial results for 2012, stating that in 2013 it expects demand to be positively affected by the start of the construction season in April, the expectations regarding the removal of the temporary import duty on rebar in Egypt, and the recovery in Libya following the civil war. The company added that the positive trend in the Turkish economy strengthens the optimistic forecasts regarding steel demand.
 
In 2012, IDC registered a net profit of TRY 1.25 million ($691.931), compared to a net profit of TRY 50.7 million in 2011. The company's sales revenues increased by 12 percent to TRY 1.6 billion ($882.9 million) compared to the previous year. In the given year, IDC posted an operating loss of TRY 26.6 million ($14.7 million), compared to an operating profit of TRY 71.5 million in the previous year, due to its narrower profit margin since its productions costs dropped later than its sales prices.
 
IDC has said that in the given period it increased both its steel billet and rebar production by 13.12 and 10.19 percent respectively on year-on-year basis, with its steel billet output reaching 1,431,580 mt and its rebar production increasing to 938,065 mt. Besides, 315,004 mt of rebar was also produced by the company's contractual partners in the given period.
 
In 2012, IDC recorded an 11 percent year-on-year increase in its finished steel sales, amounting to 1.27 million mt, while its steel billet sales totaled 70,898 mt. In the meantime, IDC's finished steel exports reached 915,722 mt, rising by 25 percent as compared to 2011. The company's exports accounted for 70 percent of its total production.