Algoma Steel Group, a leading Canadian producer of hot and cold rolled steel sheet and plate products, announced its results for the fiscal year ended March 31, 2024.
The company reported revenue of CAD 2.795 bln (USD 2 bln) for FY24, slightly up from CAD 2.778 bln the previous year.
Net income for fiscal year 2024 was CAD 105.2 mln (USD 76.7 mln), a decrease from CAD 298.5 mln the prior year. This decline was primarily due to increased costs of sales, driven by higher use of purchased coke, natural gas, and labor. However, the increased revenue from higher steel shipment volumes partially offset these costs.
Steel shipments for fiscal year 2024 rose by 4.1pct YoY to 2.08 mln tons.
Algoma is currently constructing two new electric arc furnaces (EAF) to replace its existing blast furnace and basic oxygen steelmaking operations. Once the transformation to EAF steelmaking is complete, Algoma’s facility is expected to have an annual raw steel production capacity of approximately 3.7 mln tons, aligning with its downstream finishing capacity. This shift is anticipated to reduce the company’s annual carbon emissions by approximately 70pct.
Additionally, the company successfully completed a planned upgrade of its plate facility, increasing its capacity from 450,000 tons to 650,000 tons per annum.
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