Russia-based leading global iron ore and hot briquetted iron (HBI) producer Metalloinvest has announced its financial results for the second quarter and the first half ended June 30 of the current year.
In the second quarter, Metalloinvest registered a net income of $193.97 million, falling by 22.4 percent, while its revenue increased by 36 percent to $1.51 billion, both year on year. In the second quarter, Metalloinvest's adjusted EBITDA from continuing operations went up by 53 percent to $533.48 million compared to the second quarter of 2016.
In the first half of this year, Metalloinvest registered a net income of $585 million, rising by 36.7 percent, while its revenue increased by 57 percent to $3.03 billion, both on year-on-year basis. In the given period, Metalloinvest's adjusted EBITDA from continuing operations totaled $1.06 billion compared to an adjusted EBITDA of $532.9 million recorded in the same period of 2016, mostly due to increasing iron ore and steel prices, while its EBITDA margin rose to 35 percent from 27.6 percent in the first half of the previous year.
The company’s CEO Andrey Varichev stated that the launch of the third hot briquetted iron production facility (HBI-3 Plant) at Lebedinsky GOK in Gubkin in the Belgorod region in July, with a production capacity of 1.8 million mt, as well as the continued positive pricing trends for iron ore and steel products, give confidence that the company will demonstrate good financial results for the full year.