Chinese steelmaker Baoshan Iron & Steel Co. (Baosteel) reported a 15.3% year-on-year decline in net profit to RMB 6.74 billion ($1.01 billion) during January-September 2026, despite higher revenue.
Operating revenue increased 5.7% year on year to RMB 245.65 billion ($36.88 billion). The company attributed weaker profitability to rising raw material costs, which outpaced the recovery in finished steel prices and narrowed profit margins.
During the nine-month period, Baosteel produced 36.61 million mt of pig iron and 38.63 million mt of crude steel, while sales of billets and finished steel products reached 39.15 million mt. Export orders increased 13.6% year on year to 5.87 million mt.
Sales of high-end products under the company's “2+2+N” portfolio also increased by approximately 1.12 million mt to 26.81 million mt.
In the third quarter alone, Baosteel's net profit fell 29.7% year on year to RMB 2.17 billion, despite a 4.8% increase in revenue to RMB 84.92 billion.
Profitability was pressured by a 34.9% quarter-on-quarter increase in Shanxi coking coal prices, while domestic steel prices declined 1.9% and the Platts 62% Fe iron ore index fell 7.9%.
VietnamSteel by Hoa Sen Group
