ArcelorMittal Reaffirms Targets, Buoyed by Steel Demand in Developed Markets

By Alex MacDonald

LONDON--ArcelorMittal, the world's largest steelmaker by output, reaffirmed its full-year profit guidance, driven by steel demand turnaround in its key markets of North America and Europe.

The Luxembourg-based company reaffirmed that it plans to increase its earnings before interest, taxes, depreciation and amortization or Ebitda per ton to $150 a ton in the medium term compared with $82/ton last year. It also reaffirmed that it expects global steel demand to grow 3.5% to 4% this year.

"The leading indicators for our business have now been in positive territory since mid-2013. With around two thirds of our deliveries to the developed markets and an expected turnaround in EU and NAFTA demand in 2014, there is a foundation for growth this year as well as positive momentum into next year," Chief Executive Lakshmi Mittal said in a statement.

He also reaffirmed the company's medium-term net debt target of $15 billion and management gains of $3 billion between 2013 and 2015, of which $1.1 billion was achieved by the end of 2013.

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