Revenues were € 11.2 billion, 2.6% lower than last year’s figures, while, at €523 million, profit for the period increased slightly compared to the previous year (€522 million).

The primary reason for the revenue decline was reportedly declining price levels, triggered by dropping pre-material costs and continuing intense competition. 

“Considering the economic environment and in comparison with other companies in the industry, the performance of the voestalpine Group in the past business year was rock solid,” said Wolfgang Eder, chairman of the management board of Voestalpine AG.

Challenging environment

“In the last twelve years, we have developed from a classic steel company to a steel-based technology and capital goods group that is focused on the most technologically-sophisticated customer segments. The performance of the group’s earnings, especially in a challenging economic environment, confirms ever more strongly that the strategy of extending the value chain based on premium steel product – and increasingly on products made of other materials as well – which Voestalpine has been pursuing consistently, was the right path to take.“

 Despite a difficult economic environment, the metal forming division was able to substantially increase both EBITDA ( by 8.2%) and EBIT ( by 10.2%), while the results of the special steel division (EBITDA –2.3%, EBIT +1.2%) and the metal engineering division (EBITDA +0.6%, EBIT –0.2%) remained mostly stable at the previous year’s level.

“Against the background of an economic environment that is stabilizing, the Group is anticipating an operating result (EBITDA) and profit from operations (EBIT) in the business year 2014/15 that will be somewhat above the past business year’s level,” added Eder.