Quarterly condensed income statement

Annually and Quarterly (2014 and 2015)

In millions of U.S. dollars 2014 2015 1Q 14 2Q 14 3Q 14 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15
Sales 79,282 63,578 19,788 20,704 20,067 18,723 17,118 16,890 15,589 13,981
Depreciation (3,939) (3,192) (1,080) (931) (946) (982) (807) (801) (777) (807)
Impairment1 (264) (4,764) - - - (264) - (19) (27) (4,718)
Exceptional charges2 - (1,436) - - - - - - (527) (909)
                     
Operating income/(loss) 3,034 (4,161) 674 832 959 569 571 579 20 (5,331)
Operating margin % 3.8% (6.5%) 3.4% 4.0% 4.8% 3.0% 3.3% 3.4% 0.1% (38.1%)
                     
Income (loss) from associates, joint ventures and other investments (172) (502) 36 118 54 (380) (2) 125 30 (655)
Net interest expense (1,469) (1,278) (426) (383) (338) (322) (323) (325) (318) (312)
Foreign exchange and other net financing (losses) (1,913) (1,580) (380) (327) (657) (549) (756) (73) (409) (342)
Income (loss) before taxes and non-controlling interest (520) (7,521) (96) 240 18 (682) (510) 306 (677) (6,640)
Current tax (544) (331) (156) (95) (138) (155) (125) (54) (113) (39)
Deferred tax 90 (571) 95 (61) 159 (103) (85) (70) (14) (402)
Income tax benefit/(expense) (454) (902) (61) (156) 21 (258) (210) (124) (127) (441)
Income (loss) including non-controlling interests (974) (8,423) (157) 84 39 (940) (720) 182 (804) (7,081)
Non-controlling interests (112) 477 (48) (32) (17) (15) (8) (3) 93 395
Net Income/(loss) attributable to the equity holders of the parent (1,086) (7,946) (205) 52 22 (955) (728) 179 (711) (6,686)
                     
Basic earnings (loss) per common share ($) (0.61) (4.43) (0.12) 0.03 0.01 (0.53) (0.41) 0.10 (0.40) (3.72)
Diluted earnings (loss) per common share ($)3 (0.61) (4.43) (0.12) 0.03 0.01 (0.53) (0.41) 0.10 (0.40) (3.72)
                     
Weighted average common shares outstanding (in millions) 1,791 1,795 1,790 1,791 1,792 1,793 1,793 1,794 1,796 1,795
Adjusted diluted weighted average common shares outstanding (in millions) 1,793 1,795 1,792 1,793 1,795 1,795 1,793 1,797 1,796 1,795
                     
Ebitda4 7,237 5,231 1,754 1,763 1,905 1,815 1,378 1,399 1,351 1,103
Ebitda Margin % 9.1% 8.2% 8.9% 8.5% 9.5% 9.7% 8.0% 8.3% 8.7% 7.9%

1. Impairment charges for 12M 2015 were $4.8 billion relating to:

  • Mining segment ($3.4 billion): consisting of $0.9 billion with respect to goodwill and $2.5 billion primarily related to fixed assets mainly due to a downward revision of cash flow projections relating to the expected persistence of a lower raw material price outlook at:
    • ArcelorMittal Liberia ($1.4 billion);
    • Las Truchas in Mexico ($0.2 billion);
    • ArcelorMittal Serra Azul in Brazil ($0.2 billion); and
    • ArcelorMittal Princeton coal mining operations in the United States ($0.7 billion)
  • Steel segments ($1.4 billion): consisting of fixed asset impairment charges of $0.2 billion related to the intended sale of the Long Carbon facilities in the US (ArcelorMittal La Place, Steelton and Vinton within the NAFTA segment), $0.4 billion primarily in connection with the idling for an indefinite time of the ArcelorMittal Sestao plant in Spain (Europe segment), and $0.8 billion related to:
    • NAFTA: Deployment of asset optimization programs at Indiana Harbor East and West in the United States ($0.3 billion);
    • Brazil: ArcelorMittal Point Lisas in Trinidad and Tobago ($0.2 billion) currently idled; and
    • ACIS: Saldanha plant in South Africa as a result of its revised competitive outlook ($0.3 billion)

2. Exceptional charges for 12M 2015 were $1.4 billion primarily including $1.3 billion inventory related charges following the rapid decline of international steel prices and litigation and other costs in South Africa ($0.1 billion). Exceptional charges for 12M 2014 were nil.

3. Diluted earnings per common share include assumed shares from employee share-based payments and convertible debt (if dilutive) in the weighted average number of common shares outstanding during the periods presented.

4. Ebitda defined as operating income plus depreciation, impairment expenses, restructuring and exceptional charges.