Australia’s Bluescope Full Year Net Loss Improves, Albeit Only Marginally

BlueScope Steel Ltd's financial performance for the 12 months to June 30 has improved, albeit marginally, after posting a full year net loss of $1.044 billion, up by one per cent than the $1.054 billion a year ago.

However, the company said no final dividend will be extended for the period in review. This as revenue from sales from continuing operations dropped to $8.454 billion, down by six per cent from $8.969 billion the previous year.

Still, BlueScope Steel Ltd, Australia's largest steelmaker, remained confident it will start to earn positive in the 2012/13 financial year.

"Globally, we are now well positioned for growth," BlueScope Steel Ltd Chief executive Paul O'Malley said in a statement.

"For the (first half) of FY2013, we expect a continued improvement in financial performance with an underlying net after tax loss approaching breakeven."

The company's underlying net loss registered at $238 million. This though was still above analysts' expectations of a $140 million loss compared to a net loss of $127 million in the last financial year.

The company achieved the narrower figure after restructuring its ailing business to deal with a high Aussie dollar and falling world prices of commodities.

Last week, BlueScope Steel Ltd announced it is poised to create a $1.4 billion joint venture with Nippon Steel Corp of Japan, after agreeing to sell half of its coated products operations also to the latter for $US540 million.

The JV transaction with Nippon Steel is expected to be final between January and March, pending approval from regulators.