Russia-based leading global iron ore and hot briquetted iron (HBI) producer Metalloinvest has announced its financial results for the first quarter of the current year. In the first quarter, Metalloinvest registered a net profit of $391 million, compared to a net profit of $178 million in the first quarter of the previous year, while its revenue increased by 85.1 percent year on year to $1.52 billion, mainly due to substantial growth in average prices for iron ore and steel products and increased sale volumes of high value-added products.
Meanwhile, in the first quarter, Metalloinvest's adjusted EBITDA rose to $527 million from $184 million recorded in the same quarter of 2016, while its EBITDA margin went up by 12.3 percentage points year on year to 34.7 percent. The improved profitability was largely the result of price increases for the company’s products and the implementation of its operational improvement program.
In the period in question, Metalloinvest's capital expenditures decreased by 32.6 percent year on year to $62 million, mostly resulting from scheduled completion of construction of key facilities at the HBI-3 plant at its subsidiary Lebedinsky GOK (LGOK).