ArcelorMittal Q4 net income declines 93% to $261 million

Additionally, the company's sales were also down, reaching $16.9 billion, a 18.8 percent decrease from $20.8 billion in the same period the previous year, primarily due to lower average steel selling prices and lower steel shipment volumes.

Aditya Mittal, CEO of ArcelorMittal, commented on the results: "Our full-year results demonstrate the benefits of our strengthened asset portfolio and the improvements we have made to our cost base in recent periods. This, alongside the mitigatory actions, we took in the second half of the year to adapt production levels and optimise energy consumption, has added resilience to our business."

Customer destocking in the second half of 2022 has peaked, hence, providing support to apparent steel consumption and steel spreads. He added that the company remains confident in executing its strategy of growth, decarbonization, and sustainable returns despite the ongoing geopolitical uncertainty.

ArcelorMittal, in partnership with Nippon Steel of Japan, operates a 60:40 joint venture company ArcelorMittal Mittal Nippon Steel (AMNS) India.

The crude steel production of AMNS India in the fourth quarter of 2022 decreased by 12.1 percent to 1.6 million tons, compared to 1.8 million tons in the same period the previous year, due to lower exports resulting from the imposition of export duties on steel exports from India in the second quarter of 2022.

Steel shipments in the fourth quarter also decreased by 8 percent to 1.6 million tons, compared to 1.7 million tons in the same period the previous year.

"EBITDA during 4Q 2022 of USD 162 million was lower as compared to USD 204 million in 3Q 2022, due to lower steel shipments and lower selling prices," it said.