Globe Specialty Metals Inc (GSM) of New York, NY has reported a net income of US$6.0 million for its fiscal first quarter, the three months ended September 30, 2015, compared with a net income of US$12.6 million in the corresponding period of 2014. The company’s net sales for the quarter were US$174.8 million compared with US$206.1 million in the prior year period. Shipments decreased from 73,316 tonnes to 63,807 tonnes in the latest period.
In the latest quarter, GSM shipped 36,525 tonnes of silicon metal at an average selling price of US$2,785/tonne and 27,282 tonnes of silicon-based alloys at an average price of US$1,896/tonne. In the same quarter of last year, the company shipped 39,416 tonnes of silicon at an average selling price of US$2,807/tonne and 33,900 tonnes of silicon-based alloys at an average price of US$2,048/tonne.
Alan Kestenbaum, GSM’s CEO, said, Globe is moving fast to adapt to the changed pricing environment with a focus on sustainable cost reductions and maximizing revenue and earnings through our ability to adjust our product mix. Furthermore, our balance sheet uniquely positions us to benefit from this environment as we have historically been opportunistic by investing at this part of the cycle. We expect to finalize our pending business combination with FerroAtlantica by the end of the year.
The FerroAtlantica transaction is subject to customary closing conditions, including receipt of regulatory approvals in the U.S. and other jurisdictions. The transaction is expected to close in the fourth quarter of 2015.
Volume 29 issue 22