OYAK Mining and Metallurgy Group, Turkey's leading integrated steelmaker, has demonstrated a remarkable financial turnaround in the first nine months of 2024, posting impressive growth across all key performance indicators. The company's transformation from a significant loss to substantial profit highlights the resilience of Turkey's steel sector.
The financial results reveal a striking improvement, with the company recording a net profit of TRY 11.28 billion ($350.19 million), a dramatic reversal from the TRY 3.83 billion loss reported in the same period last year. Sales revenues surged by 47.4% year-on-year, reaching TRY 148.95 billion ($4.62 billion), while operating income strengthened to TRY 15.85 billion ($492.14 million), up from TRY 9.69 billion in the previous year.
The operational performance of OYAK's facilities showed significant improvement, particularly in crude steel production. Total output reached 6.6 million metric tons, marking a 32% increase compared to the previous year. This growth can be attributed to the recovery from the February 2023 earthquake's impact, which had severely disrupted production activities.
Breaking down the production figures, the Eregli works contributed 2.6 million metric tons of crude steel, representing a 29% increase, while the Iskenderun works produced 4.0 million metric tons, showing a 35% growth. These numbers demonstrate the successful restoration of operations at both facilities following the earthquake-related disruptions.
The company's product portfolio showed strong performance across both flat and long steel segments. Flat steel production increased by 6.8% to reach 5.20 million metric tons, while long steel output grew substantially by 73.1% to 727,000 metric tons. These production increases reflect both improved operational efficiency and strong market demand.
Sales volumes mirrored the production growth, with flat steel sales rising by 7.3% to 5.15 million metric tons. Long steel sales showed particularly impressive growth, increasing by 72.4% to reach 707,000 metric tons, indicating strong market absorption of the increased production.
The comprehensive recovery in both financial and operational metrics underscores OYAK's successful navigation of post-earthquake challenges and its ability to capitalize on market opportunities. The results also highlight the company's crucial role in Turkey's industrial landscape and its contribution to the national economy's recovery.
