ArcelorMittal Reports 2Q 2024 and Half-Year Results
ArcelorMittal, the world’s leading integrated steel and mining company, announced its 2Q 2024 results, reporting an EBITDA of $1.9 billion, down slightly from $2.0 billion in 1Q 2024. The EBITDA per ton stood at $134 in 2Q 2024, reflecting ongoing structural improvements.
Steel shipments in 2Q 2024 reached 13.9 million tons, a 3.2% increase from 13.5 million tons in 1Q 2024. This rise in shipments and lower costs helped offset the impact of reduced steel prices.
Net income for 2Q 2024 was $0.5 billion, down from $0.9 billion in 1Q 2024, mainly due to the non-cash mark-to-market impact on Vallourec shares. The company's net debt was $5.2 billion at the end of the quarter, with gross debt at $11.1 billion and cash and cash equivalents of $5.9 billion as of June 30, 2024. This strong financial position supports ongoing growth investments and capital returns.
Over the past 12 months, ArcelorMittal generated $2.6 billion in investable cash flow, with $1.5 billion invested in strategic growth projects and $1.8 billion returned to shareholders.
AM/NS India Performance:
In 2Q 2024, AM/NS India produced 1,867 kt of steel, a decrease from 1,984 kt in 1Q 2024, but an increase from 1,792 kt in 2Q 2023. Sales in 2Q 2024 declined by 12.9% to $1.6 billion compared to $1.8 billion in 1Q 2024, due to planned maintenance and lower average steel selling prices. EBITDA for 2Q 2024 was $237 million, down from $312 million in 1Q 2024, driven by a negative price-cost effect and lower shipments.
The 1GW India renewables project in Andhra Pradesh has begun commissioning, with power evacuation infrastructure largely complete. The $0.7 billion capex project is expected to generate $0.1 billion of EBITDA and will provide cost-competitive, stable, round-the-clock renewable power for AMNS India, meeting over 20% of the energy requirements for its Hazira plant.
ArcelorMittal expects another strong year for India, with apparent steel consumption growth projected between 7.5% and 9.5%, up from the previous expectation of 6.5% to 8.5%.