Steel giant ArcelorMittal posts 'strongest quarter in a decade'

PARIS — Steel giant ArcelorMittal said on Thursday it recorded its best quarterly performance in a decade as commodity prices have soared due to booming demand fuelled by an economic recovery from the pandemic.

The Luxembourg-based group's net profit nearly doubled to $2.3 billion (1.9 billion euros) in the first quarter compared to the last three months of 2020, according to an earnings statement.

Sales surged by 15 per cent in the first three months of the year to $16.2 billion as steel prices and iron ore revenues rose.

Prices of raw materials ranging from copper to lumber and tin have skyrocketed in recent months as economies have started to bounce back from the coronavirus pandemic.

ArcelorMittal forecast an increase in steel demand of up to 5.5 per cent after a contraction last year.

"The first quarter of this year has been our strongest in a decade," chief executive Aditya Mittal said in a statement.

"While this is naturally a very welcome development following a highly challenging 2020, we are mindful that Covid continues to be a health challenge across the world, especially in developing economies," Mittal said.

The group is present in 60 countries and is listed in stock markets across Europe and New York.