Miner and supplier of steel making raw materials OneSteel Ltd
(ASX:OST) has posted a six per cent fall in net profit for the year to June 30.
Net profit after tax for the 12 months to June 30 came to $230 million, down from $245 million recorded the year before.
Underlying net profit after tax of $215 million was down 32 per cent from the $315 million reported the year before, but slightly higher than the $200 million forecast by the company in April.
CEO Geoff Plummer says results for the last three quarters were affected by a substantial deterioration in both domestic and international market conditions due to the effects of the global financial crisis.
The company says international prices for steel and steelmaking inputs are expected to remain volatile.
However, prices are expected to improve over the longer term though they are not likely to reach the highs of 2008.
OneSteel did not provide earnings guidance for fiscal 2010 due to a high level of uncertainty around the movement and impact of foreign exchange rates, prices and the rate of economic recovery.
OneSteel declared a final dividend of 4 cents a share.
Looking at the past five years OneSteel’s best net profit so far has been in 2008.
