Sweden-based special steel producer Ovako has announced that in 2013 it registered a net loss of €21 million, widening from a net loss of €4 million in 2012, while the company's sales revenues amounted to €850 million, decreasing by nine percent year on year, partly due to lower volumes during the first half of the year and also due to lower scrap and alloy surcharges as a consequence of lower raw material prices.
In the given year, Ovako's sales volume declined by three percent to 675,000 mt, while its order intake increased by 10 percent, both compared to 2012. The company produced 862,000 mt of steel, which was in line with the previous year.
"We have started 2014 with a stronger order book, a better cost structure and a better customer service compared to the beginning of 2013. After a weak start to the year, every month since August last year has been stronger on year-on-year in terms of order intake, invoicing, and profitability," said Ovako CEO Tom Erixon.
According to Ovako, during the third quarter of 2013 the company opened a sales office in Italy as part of its efforts to enhance its presence in selected markets. Furthermore, existing sales units were also coordinated and strengthened during the year. With these key marketing initiatives, Ovako has laid the foundation for stable growth in the coming years.