Russia-based leading global iron ore and hot briquetted iron producer Metalloinvest has announced its financial results for the full year ended December 31, 2019.
In 2019, Metalloinvest registered a net profit of $1.73 billion, increasing by 5.1 percent owing to a net foreign exchange gain from financing activities, while the company’s revenue decreased by 3.2 percent to $6.96 billion, both year on year. The company stated that the decrease in revenue last year was a result of the different price trends for the Mining and Steel Segment products and the change in sales structure.
In the same year, its adjusted EBITDA amounted to $2.51 billion, falling by 14.3 percent compared to 2018 due to lower average steel product prices although iron ore prices recorded an increase. Metalloinvest’s EBITDA margin in 2019 declined to 36.1 percent, from 40.8 percent in the previous year.
Meanwhile, the company’s crude steel production totaled 4.87 million mt in 2019, down by 3.7 percent year on year by reason of the reconstruction works at Ural Steel. Besides, Metalloinvest’s steel segment product shipments totaled fell by 7.6 percent on year-on-year basis due to lower pig iron shipments. In the same period, the company’s pig iron shipments fell by 20.2 percent to 1.73 million mt, while shipments of finished steel products declined by 1.6 percent to 4.57 million mt, both year on year.
In the given year, global iron ore prices rose by 16 percent compared to the previous year,while global pig iron and finished steel prices declined by 12 percent and 17 percent, all year on year, respectively.