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Sims reports "strong results"

Portrait of Sims Limited's CEO Alistair Field
Sims CEO Alistair Field said he was pleased with
the"strong and sustained second-half recovery"
19.08.2021 − 

Metals recycling group Sims has returned to profitability. Higher volumes and margins, which were in turn driven by higher market prices, enabled the company to report "a strong set of operational and financial results for the year ended 30 June 2021", according to its CEO Alistair Field. Mr Field said he was pleased with the "strong and sustained second-half recovery" and the substantial progress made in advancing the group’s growth strategy during the past reporting year.

The new financial year has started "very well", Sims reported, and the outlook is positive. However, the company cautioned that "any material negative impacts from Covid-19 on the global recovery remain a significant downside risk to the FY22 result". In the medium and longer term, the business is expected to benefit from ongoing or announced economic stimulus spending, particularly in the USA and China, which will "increase demand for steel-intensive infrastructure spending and drive additional retail consumption".

Overall, Sims raised its sales revenue by around one-fifth compared to the previous year to €5.92bn, which corresponds to about €3.66bn. The company’s sales volumes increased by five per cent to 8.6 million tonnes. The net profit for the year reached AUD229million, equivalent to about €142m. In the previous financial year, Sims had booked a net loss of AUD265m.

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