Nizhne-Serginsky Metallurgical and Metalware Plant (NSMMZ), the main asset of Russian steelmaker NLMK's Long Products Division, has registered an eight percent quarter on quarter decrease in its Q1 2010 revenue under Russian Accounting Standards (RAS), mainly due to reduced export sales caused by the seasonal decline in demand for long products. Meanwhile, the rise in scrap prices negatively affected NSMMZ's Q1 gross profit.
In Q1 2010, NSMMZ saw a reduction in net loss compared to Q4 2009, when allowances for bad debts were created.
Q1 2010 (Ruble thousand) | Q4 2009 (Ruble thousand) | Q1 2009 (Ruble thousand) | Change Q1 2010/Q4 2009 | Change Q1 2010/Q1 2009 | |
Revenue | 4 137 077 | 4 518 050 | 4 183 491 | -8.43% | -1.11% |
Gross profit | 233 739 | 388 533 | 527 128 | -39.84% | -55.66% |
Operating profit | -257 476 | -345 113 | 39 676 | ||
Net profit | -2 043 039 | -5 243 311 | -1 934 132 | -61.04% | 5.63% |