U.S. Steel Corp’s second quarter loss get narrowed through their cost cuttings amid the glutted global market.
Shares of the company have increased by 9 percent to about $30.22. The steel company has struggled due to the oversupply of steel. In the first quarter, the company had achieved first net profit in 18 months due to its cost cutting process.
Mario Longhi, President and Chief Executive of the company said that the Carnegie Way journey continued to make improvements as they reported operating income for each of their reportable segments.
In the second quarter the steel maker has reduced the loss to about $18 million from the previous loss of about $78 million. The company reported total earnings of about 17 cents per share including the litigation reserves and other items. Net sales were about $4.4 billion, reduced from $4.43 billion due to the reduced steel shipment.
The expected loss was about 29 cents a share on $4.21 billion in sales. Total operating expenses decreased to about 2% to $4.37 billion. Shipments of flat-rolled products have dropped by 5%.