By Tess Stynes and Nathalie Tadena
Tenaris SA's (TS, TEN.MI) second-quarter earnings fell 5.6% as
the producer of steel casings and pipes for the energy industry
reported weaker tube sales in North America and Europe.
The Luxembourg-based company has been benefiting as oil-and-gas
exploration and production increasingly focused on deepwater and
alternative shale-energy fields. Tenaris's sales trends had
weakened in recent quarters amid commodity-price volatility.
Tube sales in North America--the biggest top-line
contributor--slipped 22% from a year earlier to $986 million.
European sales were down 24%, while South America sales jumped
21%.
Overall, Tenaris reported a profit of $429.6 million, or 71
cents per American depositary share, down from $455.3 million, or
77 cents per ADS, a year earlier. Revenue increased 1% to $2.83
billion.
Analysts polled by Thomson Reuters recently expected per-ADS
profit of 73 cents and revenue of $2.72 billion.
Gross margin eased down to 39.4% from 39.5%.
Shares closed at $45.01 Thursday and were inactive after hours.
The stock is up 7.4% so far this year.
Write to Tess Stynes at tess.stynes@wsj.com and Nathalie Tadena
at nathalie.tadena@wsj.com
Order free Annual Report for Tenaris SA
Visit http://djnweurope.ar.wilink.com/?ticker=LU0156801721 or
call +44 (0)208 391 6028
Order free Annual Report for Tenaris SA
Visit http://djnweurope.ar.wilink.com/?ticker=US88031M1099 or
call +44 (0)208 391 6028
Order free Annual Report for Ternium SA
Visit http://djnweurope.ar.wilink.com/?ticker=US8808901081 or
call +44 (0)208 391 6028
Subscribe to WSJ: http://online.wsj.com?mod=djnwires