Also for a preview of KZLs results check out OneSteel's half-year report. I expect that KZL fared much better with more positive EBIT, but I am sure the language will be quite similar.
“Our Australian Steel businesses continued to face the challenges of a generally weak market, leading to both our steel Manufacturing and Distribution businesses delivering disappointing EBIT losses that have had a considerable impact on the company’s half year results. Notwithstanding the weak market, we have remained focused on addressing these losses through improved cost and operational performance and expect a significantly better second half as a result, including anticipating positive underlying EBITDA for the Manufacturing business for the second half."
And they are also selling a major asset...
“In December, we announced the company had entered into an agreement to sell its Piping Systems business for $67 million, which together with the sale of related property investments is expected to result in total proceeds of approximately $100 million."
KZL Price at posting:
31.0¢ Sentiment: Buy Disclosure: Held
