ArcelorMittal Swung to Net Loss in 1Q; Suspends Dividend Payouts

   By Kim Richters 
 

ArcelorMittal said Thursday that it posted a loss in the first quarter of the year, and it temporarily suspended its dividend payments amid the coronavirus pandemic.

The Luxembourg-based steel-and-mining company reported a quarterly net loss of $1.12 billion, compared with a profit of $414 million in the year-earlier period. In the fourth quarter of 2019, ArcelorMittal's net loss was $1.88 billion.

Sales dropped to $14.84 billion from $19.19 billion, partly due to lower steel shipments related to the coronavirus pandemic, the company said.

Earnings before interest, taxes, depreciation and amortization were $967 million, down from $1.65 billion the year-earlier period. Analysts had forecast quarterly Ebitda of $867 million, according to a consensus provided by the company.

ArcelorMittal said it expects Ebitda for the second quarter to be in the range of $400 million to $600 million.

"Against the backdrop of significant cost-savings measures being taken across the business, the board determined it both appropriate and prudent to suspend dividend payments until such a time as the operating environment normalizes," it said.

Write to Kim Richters at [e-mail]

(END) Dow Jones Newswires

May 07, 2020 01:47 ET (05:47 GMT)

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