General Steel Holdings Inc · OTC:GSIH
General Steel — Q3 2010 Earnings Presentation
12 slides from General Steel's earnings presentation, Nov 8, 2010
Slide 1: Henry Yu, CEO
Exhibit 99.2 Henry Yu, CEO &
Slide 2: Safe Harbor Statement
& [SRNR RTREL HOLONGR NC. Harbor Statement This presentation (including the financial projections and any subsequent questions and answers) contains statements that are forward-looking within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1
Slide 3: Agenda
va > > > > > > Revenue and Shipment Volume Third Quarter 2010 Highlights Demand Drivers Improved Gross Profit Margin Other Key Operating Metrics Fourth Quarter 2010 Outlook Q&A ‘This presentation is intended tobe viewed in conjunction with General Stee! Holdings, Ine. third quarter 2010 earnings cal
Slide 4: Third Quarter Total Revenue and Shipment Volume
Third Quarter Total Revenue was ine Months Ended September 30, 2010 $460.3 Million Total Revenue Increased 16.3% Year-over-Year USD in thousands USD in thousands 4at4979 aur seuz77 100.000 | 246,499 1,200,000 1,000,000 800,000 600,000 400,000 200,000 o 200903 201003 Months Ended 9Months Ended ‘30108
Slide 5: Third Quarter 2010 Highlights: Tianwu Joint Venture
> Formed a new joint venture, Tianwu General Steel Material Trading Co., Ltd. (“Tianwu JV”) with Tianjin Materials and Equipment Group Corporation (“TME Group”). + TME Group is one of the largest and most diversified commodity trading groups in China. + Tianwu JV will source raw materials, including
Slide 6: Demand Drivers: Go West Initiative
‘% Increased GDP Comparison in > Direct beneficiary of the“Go West” economic First Half of 2010 initiative 18.8% — One of the top five economic priorities from 2011-2015 — Continue to enjoy corporate tax rate at 15% — 236 construction and infrastructure projects under development in Shaanxi Province
Slide 7: Gross Profit for the Third Quarter and Nine Months of 2010
> > Gross Profit was $15.6 Million in Gross Profit was $28.7 Million for Nine the Third Quarter of 2010 Months Ended September 30, 2010 so USS (mm) 80 754 USS (mmm) 397 70 40 ei 20 50 40 20 188 30 a. ‘ | | ‘ i 10 ot of 93 2009 932010 @Months Ended § Months Ended 9730/03 9/0/10 3Q10 gross margin grew
Slide 8: Gross Margin Increased to 3.4% in the Third Quarter of 2010
Gross Margin Increased to 3.4% in the Third Quarter of 2010 % 24% % me 4.2% ioe 1% 0% zoiar 2010020002 Upward ASP Trend in August and September 4800 7 mE with VAT} Juys2710 ugues2cIM Bap-2010 > Less efficient equipment, such as the blast fumaces, were kept at a low utilization rate during the quarte
Slide 9: Income from Operations and EBITDA
Income from operations was $6.0 million for the third quarter 2010 compared to a loss of $6.3 million in the second quarter of 2010 and a loss of $6.4 million in the first quarter of 2010. Vv > EBITDA for the third quarter 2010 and the nine months ended September 30, 2010 was $20.4 million and $48.7
Slide 10: Balance Sheet
(Usp ,000) Assets: Cash and Restricted Cash Accounts Receivable Notes Receivable Inventories ‘Advances on Inventory Purchases Total Gurrent Assets $770,926 Property Plant and Equipment Total Assets $1,416,641 Liabilities: Total Notes Payable ‘Total Accounts Payable ‘Total Short Term Loan Customer De
Slide 11: Fourth Quarter 2010 Outlook
> Trend of the average selling price will remain stable > Trend of the cost of raw materials (iron ore and coke) will both remain stable ¥» In negotiations with Shaanxi Iron and Steel Group to operate two new blast furnaces: + Additional 2 million metric tons of crude steel annual capacity; + The re
Slide 12: Contact Information
1g Ou-Yang Justin Knapp Jessica Barist Cohen General Stee! Holdings, Inc. Ogilvy Financial, Beijing Ogilvy Financial, New York Tel: + 86-10-5879-7346 Tel: + 86-10-8520-6556 Tel: + 1-646-460-9989 ing.ouyang@gshi-steel.com Email: gsi@ogilvy.com Email: gsi@ogilvy.com 12 “This presentation is intended t
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