In the first three quarters of 2011, the operating revenue and total profit of Fushun Special Steel Co., Ltd. soared 9.54% and 16.11% YoY respectively to RMB4.26 billion and RMB26.25 million. In Q3, 2011, its operating revenue hit RMB1.29 billion, down 0.99% YoY and down 13.90% QoQ.

  Growth Rates of Operating Revenue and Total Profit of Fushun Special Steel, 2008- Jan. – Sept. 2011

Source: Fushun Special Steel; ResearchInChina

Main products of Fushun Special Steel include alloy constructional steel, alloy tool steel, stainless steel and high temperature alloy. During Jan. to Sept. 2011, price index mean of special steel increased by 13.9% YoY in China. The rise of products’ average selling price directly drove the growth of operating revenue. In July to September 2011, price index mean of special steel declined by 1.4% quarter-on-quarter and production and sales volume shrank to a certain degree, which resulted in the QoQ decrease of operating revenue.

Profitability of Fushun Special Steel has been improved continuously. During Jan. to Sept. 2011, its integrated gross margin rose 2.2 percentage points to be 9.4%. In terms of quarter, integrated gross margin increased quarter by quarter, achieving 8.4%, 9.3% and 10.7% in the first, second and third quarter respectively.