By Ian Walker

 

ArcelorMittal on Thursday reported a narrowed third-quarter net loss after booking an impairment gain, and said it remains cautious about the future.

The Luxembourg-based steel-and-mining company made a net loss of $261 million for the third quarter, compared with a loss of $539 million a year earlier. It booked an impairment gain of $556 million in the period, most of it relating to a partial reversal of impairment charges after the sale of its U.S. business.

Sales fell to $13.27 billion from $16.63 billion, as the company experienced a rise in steel shipments.

Earnings before interest, taxes, depreciation and amortization--one of the company's preferred metrics--were $901 million compared with $1.06 billion and a company provided consensus of $838 million, based on 19 analysts' forecasts.

ArcelorMittal in September said that it was selling its U.S. business to Cleveland-Cliffs Inc. for $1.4 billion and planned to return $500 million of the money to shareholders via a share-buyback program. The program completed on Oct. 30.

The disposal is expected to close within the fourth quarter of 2020, subject to regulatory approvals and customary closing conditions, ArcelorMittal said at the time.

 

Write to Ian Walker at ian.walker@wsj.com

 

(END) Dow Jones Newswires

November 05, 2020 01:38 ET (06:38 GMT)

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