General Steel Holdings, Inc. (GSI), a China-based producer of steel products, Monday reported a wider loss for the second quarter, primarily reflecting expenses related to its December 2007 convertible bond issue.
For the second quarter ended June 30, 2009, net loss attributable to controlling interest stood at $31.79 million or $0.80 per share, wider than $24.27 million or $0.69 per share reported in the year-ago quarter.
On an adjusted basis, excluding non-operating, non-cash expenses related with the December 2007 convertible bond issue, the company posted net income of $1.4 million or $0.04 per share for the second quarter of 2009.
Total revenues for the quarter under review increased 5.7% to $408.95 million from $387.03 million in the earlier-year earlier period.
According to the Beijing-based company, revenue grew primarily due to increased shipment volume at its Longmen JV and Baotou Steel Pipe JV. Aggregate shipment volume in the second quarter surged 62.7% year-over-year and reached 956,321 metric tons.
Gross profit decreased by 1.6% to $22.50 million in the 2009 quarter, with gross margins falling slightly to 5.5% from 5.9% in the 2008 quarter.
For the six-month period, the company posted a net loss attributable to controlling interest of $24.45 million or $0.65 per share, wider than last year's loss of $22.08 million or $0.63 per share. Adjusted non-GAAP net income grew to $4.6 million or $0.12 per share in the first-half period. Year-to-date total revenues increased 7.8% to $731.74 million from $678.60 million in 2008.
Commenting on its performance, Chairman and Chief Executive Officer Henry Yu said, "Government growth initiatives such as 'Go West' development, aggressive stimulus spending on infrastructure in rural China and the newly announced Guanzhong-Tianshui Special Economic Zone helped to insulate us from the economic slowdown."
Yu added, "In addition, our centrally located, Shaanxi-based Longmen facility enables us to cost-effectively supply construction-related steel throughout central and western areas of China which continues to shield us from the glut of overcapacity along the eastern seaboard."
GSI closed Friday on NYSE at $5.74, up $0.21, with a volume of 1.18 million shares.
For comments and feedback contact: editorial@rttnews.com
June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.