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Kardemir announces Q3 2025 financial results

Karabük Iron and Steel Industry Inc. (Kardemir) reported a net loss of TRY 682 million in the third quarter of 2025, compared to a net profit of TRY 1.4 billion in the previous quarter — marking a 149% decline quarter-on-quarter.

Kardemir announces Q3 2025 financial results

For the first nine months of 2025, the company posted a net loss of TRY 955 million, showing a 76% improvement compared to the TRY 3.95 billion loss recorded in the same period last year.

Despite the negative bottom line, Kardemir achieved a positive operating performance, recording TRY 119.6 million in operating profit during the period. However, the company ended the quarter with a net loss due to financial expenses and monetary effects. Third-quarter financial expenses amounted to TRY 1.4 billion, down 39% y-o-y.

In terms of sales, Kardemir generated TRY 16 billion in revenue during the third quarter — a 2.5% increase from the previous quarter but a 17% decline year-on-year. For the first nine months, total revenue reached TRY 48.2 billion, representing a 12% annual decrease.

Although production volumes remained balanced, declining steel prices led to a drop in real revenue. The company attributed this to weak global steel prices and lower demand in European and Middle Eastern markets. While domestic sales remained relatively stable, exports declined. Kardemir’s balanced pricing strategy and improved product mix helped mitigate the impact of weaker sales.

Gross profit rose 11% y-on-y to TRY 3.1 billion in the first nine months, supported by cost optimizations in coke, energy, and labor expenses.

Kardemir’s capacity utilization rate stood at 74%. Rolling mill lines operated at 83–86%, while the rebar and wire rod line ran at 54%, and the railway wheel plant operated at 11.5%.

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