(Reuters) -European stainless steel producer Aperam reported weaker than expected core earnings for the third quarter on Friday, weighed down by lower volumes and growing price pressure on its home continent.
Adjusted earnings before interest, taxes, depreciation and amortization fell around 25% from a year earlier to 74 million euros ($86 million), while analysts polled by the company had forecast 76 million euros on average.
“Major drivers were lower seasonal volumes in Europe, intensifying price pressure in Europe and temporary soft Alloys contribution,” the group said in a statement.
Average steel selling price fell by around 10% quarter-on-quarter to 2,040 euros per ton, company data showed.
The group had reaffirmed its third-quarter outlook last month, anticipating a seasonal dip in shipments due to reduced summer demand in Europe.
Aperam expects its core profit to also decrease in the final quarter of 2025 compared to the previous three months.
However, strong cash generation allowed the company to lift its deleveraging outlook, as it now expects to cut its net debt by more than 200 million euros by the end of the year, compared to the third quarter. It had previously expected this decrease to be around 200 million.
($1 = 0.8575 euros)
(Reporting by Alban Kacher in Gdansk, editing by Milla Nissi-Prussak)
