Turkish pipe producer Borusan Pipe reported a net loss of USD 5 mln in 2024, a sharp decline from its USD 194 mln profit in 2023, citing challenging market conditions.
The company attributed its losses to pricing pressures, rising costs due to inflation, and exchange rate fluctuations. Despite these headwinds, Borusan Pipe’s sales volume grew by 10 pct to 1.17 mln tons. However, sales revenue declined by 3 pct YoY to USD 1.74 bln, reflecting the impact of market constraints.
Borusan Pipe noted that pricing limitations imposed by market dynamics affected profitability. However, its strong position in the U.S. market and growth in infrastructure projects helped support revenue.
The U.S. market accounted for 69 pct of the company’s total revenue, while international sales contributed 81 pct. Among business segments, infrastructure and projects made the largest contribution with a 47 pct share, followed by the energy segment at 23 pct. Industry and construction accounted for 18 pct, while the automotive segment had a 12 pct share.
Looking ahead, Borusan Pipe expects market challenges from 2024 to persist in 2025. The company’s key priorities include maintaining stability in revenue and sales volume, keeping its EBITDA margin within the 5 to 7 pct range through effective cost management, optimizing working capital, and strengthening cash flow to reduce debt levels. The company also highlighted that demand trends, exchange rate fluctuations, raw material prices, and potential new U.S. steel regulations will continue to influence profitability in the coming year.
Founded in 1958, Borusan Pipe is a global leader in welded steel pipe manufacturing. Operating across three continents with 10 facilities and a production capacity of 1.7 mln tons, the company offers over 4,000 product varieties. It holds a leading position in the global steel pipe market.
