Metalloinvest’s sales revenues up 46.2 percent in 2017 due to higher prices

Thursday, 15 March 2018 15:39:21 (GMT+3)   |   Istanbul
       

As per its financial results according to international financial reporting standards (IFRS) for the full year of 2017, Russia-based leading global iron ore and hot briquetted iron (HBI) producer Metalloinvest recorded a net profit of $1.4 billion in the given year, increasing from a net profit of $1.15 billion in 2016, while its revenues increased by 46.2 percent year on year to $6.23 billion, largely as a result of higher iron ore and steel prices and increased HBI shipments.

Metalloinvest's EBITDA rose by 68.5 percent year on year to $2.12 billion in 2017 and its EBITDA margin, which had been 29.5 percent in the previous year, increased to 34 percent.

In 2017, Metalloinvest successfully launched the HBI-3 Plant at Lebedinsky GOK with a capacity of 1.8 million mt. The resulting increase in the company’s capacity to produce high-quality products enables it to further strengthen its position as a market leader with more than 50 percent of the total merchant HBI market and has significantly contributed to its strong financial performance year on year.

Meanwhile, the growth in prices for the Metalloinvest’s products over the past year has been supported by Chinese production cuts driven by the implementation of strict environmental pollution controls, and the recovery of steel demand in Russia, Europe and the US. Persisting favorable market conditions and the company’s continued focus on increasing its production of high value-added products and the implementation of its operational improvement program will enable Metalloinvest to keep delivering positive financial results.


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