Fall in Scrap Market and Covid-19 Take a Hit on Sims Results

Sims Ltd. revenues witnessed a year-on-year decline by over 26% during the fiscal year ended 30th June, 2020.

SEATTLE (Scrap Monster): Australia-headquartered Sims Ltd. which also runs recycling operations in North America and the UK reported that its financial results were negatively impacted during fiscal year 2020. The company noted that tough market conditions prevailed throughout the year.

Sims Ltd. revenues witnessed a year-on-year decline by over 26% during the fiscal year ended 30^th June, 2020. The revenues were down from A$6,640 million to A$4,908.5 million. The sales volumes too were down significantly from 9.803 million tonnes to 8.154 million tonnes. Also, the company reported underlying loss of nearly A$57.9 million. Meantime, the consolidated metals divisions operations returned to positive EBIT during the month of July this year.

RELATED NEWS:

Scrap Metal Exporters Must Apply for New Qualification Certificate

Steel Dynamics Inc. Concluded Acquisition of Mexican Scrap Metal Recycler

Commenting on the performance, Alistair Field, Group CEO and Managing Director, Sims stated that the management had responded to tough market conditions with a comprehensive restructuring and cost reduction initiative. The first half margins were severely compressed by rapid collapse in ferrous scrap prices and historically low zorba prices. The severe Covid-19 lockdowns across geographies materially impacted scrap intake volumes and sales prices in the second half of the fiscal, he added.

• NWRA Board of Trustees Announces Michael E. Hoffman as President and CEO
• Auburn University Selects FOR Solutions Composting System
• City of Hoboken, NJ Announces Finalization of Zero Waste Plan
• SeaSweepers Kicks Off Ocean Plastic Recycling Pilot by Conducting Partnership Research Tours