BlueScope Steel Declares Withdrawal of H2 FY2020 Earnings Outlook

SEATTLE (Scrap Monster): BlueScope Steel Limited announced its decision to withdraw its earnings guidance for H2 FY 2020, due to unprecedented markets conditions caused by spread of coronavirus epidemic across the world and subsequent global economic uncertainties.

The company press release noted that the restrictive measures adopted by various governments over the past few weeks to contain the rapidly spreading virus have resulted in a huge drop in sentiments and economic outlook. The national shutdown in Malaysia has led to unexpected business interruption. The automakers’ surprise decision to temporarily cease production is likely to have notable impact on despatch volumes from the region.

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Earlier in February this year, the company had guided for a stable underlying earnings before interest and tax in 2H FY2020 at $302.4 million.

Commenting on the decision, Mark Vassella, Managing Director and CEO, BlueScope Limited said that the safety and wellbeing of all its employees is the most important priority for the company. All the business units have already implemented necessary measures to reduce the chances of virus transmissions in the workplace. The company is in a strong position to withstand these uncertain times, he added.