Subscribe to RSS
UnitedStates Germany Russia India Turkey SouthAfrica England Netherlands Philippines Belgium Australia Brazil Spain China Kore

Timken keeping SBQ expansion focus on larger-diameter bar

Special bar quality (SBQ) producer Timken Co. is targeting end-use markets not readily served by other producers through capacity expansions.

SQB metal bar

Executives told investors during an earnings conference call that despite fourth-quarter steel capacity utilization rates dropping below 50 percent, Timken’s ongoing equipment upgrades and installations are aimed at developing new, larger-diameter products for users outside the automotive industry, on which most competitors are now focusing.

Canton, Ohio-based Timken broke ground last April on a $225-million project at its Faircrest Steel Plant in Canton.

Steel segment sales are expected to fall 7 to 12 percent this year, “driven by lower end-market demand in the oil and gas and industrial sectors,” chief financial officer Glenn Eisenberg said during the conference call, but a slow start will be balanced by improving conditions throughout the year.

“We finished the fourth quarter at under 50 percent utilization,” aerospace and steel group president Rich Kyle said, but “we expect that our backlog and order input for the first quarter to be up toward 60 percent.”

The capital projects Timken will start up “are not really around capacity,” president and chief executive officer Jim Griffith said. “Of the two big projects, one is around cost reduction and the other is around product expansion, capabilities, entering new markets and furthering our product line.”

The biggest part of the capacity expansion—-which is focused on 6- to 16-inch-diameter bar products—-is scheduled to come online in mid-2014, Griffith said. “Most of the capacity (that our peers are bringing on) focuses more on smaller products (6- to 8-inch diameters and below) and automotive markets, whereas our (range) is more focused on industrial (and) oil and gas markets.”

Griffith estimated that domestic SBQ capacity will expand by 15 percent in 2013, but “above about 9 inches in diameter there is nobody in North America who can produce it, so that’s a unique space for Timken.”

Competitors are aiming at high-volume automotive/mobile equipment markets, “whereas ours targets a different market opportunity,” Griffith said.

Timken’s steel segment sales totaled $1.63 billion last year, down 11.4 percent from $1.84 billion in 2011, and the unit’s earnings before interest and taxes (Ebit) fell 5.8 percent to $251.8 million. The company did not disclose tonnage data.

source: American Metal Market

0 commentsback to post

banner

Add your comment

Nickname:
E-mail:
Website:
Comment:

*

Other articlesgo to homepage

Opening nieuw Benelux distributiecentrum bij IMES in Hasselt

Opening nieuw Benelux distributiecentrum bij IMES in Hasselt(0)

Descours & Cabaud, een multinational van Franse origine, die onder meer eigenaar is van IMES in Hasselt en Van den Broek in Herentals, heeft in de industriezone Ekkelgaarden een nieuw distributiecentrum geopend voor de Benelux. De totale investering bedraagt 6 miljoen euro. Het nieuwe distributiecentrum werd gebouwd aanpalend aan het bestaande hoofdkantoor van IMES. Op

Super precisie lagers van Barden helpen om Mars te verkennen

Super precisie lagers van Barden helpen om Mars te verkennen(0)

BARDEN CORPORATION | DANBURY, USA Super precisie lagers helpen nieuwste onderzoek van NASA ’rover’ om de meest extreme omstandigheden op Mars te weerstaan. De lagers zijn ontworpen en ontwikkeld door ‘The Barden Corporation, super precision Schaeffler Bearings specialist’ gevestigd in Danbury, Connecticut USA. Met de grootte van een kleine auto en een gewicht van net

ZKL lanceerd Cilindrische rollager PLC_412-63

ZKL lanceerd Cilindrische rollager PLC_412-63(0)

Medewerkers van ZKL voltooie met succes de  ontwikkeling en productie van een grote dimensionale cilindrische rollager PLC_412-63 voor een belangrijke buitenlandse klant. Hierbij de technische kenmerken voor een betere voorstelling: Buitendiameter: 900 mm Hoogte: 210 mm Gewicht: 612 kg   Klik op de bron om de details te lezen. source: BearingNews

Tonlagers voor de” High Roller”

Tonlagers voor de” High Roller”(0)

De Amerikaanse Bridge Company heeft SKF gecontracteerd om technologische oplossingen te leveren voor de Las Vegas “High Roller”, die binnenkort ‘s werelds hoogste reuzenrad zal zijn. SKF levert 170-meter hoge reuzenrad Caesars Entertainment Corporation wiel met twee op maat gemaakte sferische tonlagers, samen met aanverwante technologieën. De twee sferische tonlagers wegen ongeveer 8,8 ton per

NTN Bearing Corporation Celebrates 50 Years in America

NTN Bearing Corporation Celebrates 50 Years in America(0)

Mt Prospect, IL, March 14, 2013 – NTN Bearing Corporation of America is proud to reflect back on its fifty years of success in the United States, providing world-class products to a wide variety of industries. Incorporated on this day in 1963 by Shungi Iishino and “Lucky” Itoh, the Japanese-based company opened its first corporate

read more

Contacts and information

Social networks

Most popular categories

Legal Notice

© 2012 BEARING NEWS All rights reserved.