Nanjing Iron & Steel Co. Ltd. provided earnings guidance for the first half ended June 30, 2014. For the first half, the company expects that it will turn loss into gain in the first half of 2014 compared with the same period of last year, realizing a net profit attributable to the shareholders of listed company of approximately RMB 120 million.

The main reasons for the expected profit growth in the results of this period in the first half of 2014, the output and sales volume of steel products increased when compared with the same period of last year as a result of continual improvements in production levels due to structural adjustment programs such as the restructuring and development of the heavy plate mill. The product mix was also optimized and the sales orders for high value-added products like 9% Ni steel increased substantially. Meanwhile, the cost control measures were strengthened and the price of the main raw materials decreased relatively more than that of steel, which resulted in the increase in the gross profit of products compared with the same period of last year.