Russia-based leading global iron ore and hot briquetted iron producer Metalloinvest has announced its financial results for the first half ended June 30, 2019.
In the given period, Metalloinvest registered a net income of $1.02 billion, increasing by 17.2 percent, while the company’s revenue decreased by 5.2 percent to $3.58 billion, both year on year. The fall in revenues was attributed mostly to the decline in average prices of steel products and pig iron following the decrease in global prices, as well as a certain reduction in sales volumes.
In the same period, its adjusted EBITDA amounted to $1.41 billion, falling by 5.4 percent compared to the first half of 2018, due to the fall in finished steel product pricing compared with the increase in raw material prices.
In the first half, EBITDA margin increased to 39.3 percent from 39.5 percent in the first half of 2018.
Alexey Voronov, finance director of Management Company Metalloinvest, commented, “In H1 2019, the industry was impacted by different dynamics of global prices for iron ore and steel. Metalloinvest’s Mining Segment EBITDA increased by 25 percent to $1.3 billion. This was driven by the favorable iron ore pricing environment and the increase in the share of high value-added products in the company’s sales structure.”