Ukrainian mining and steel producing group Metinvest has announced its IFRS financial results for the first quarter of the current year.
In the given period, Metinvest's consolidated sales revenues totaled $1.85 billion, up 44 percent year on year. The increase was primarily due to a recovery in global prices of steel, iron ore and coal products, after they had hit their lowest level of the last several years in the first quarter of 2016. The metallurgical division accounted for 79 percent of external sales (stable compared to the first quarter of the previous year), while the mining division accounted for 21 percent (also stable compared to the first quarter of 2016). The company's adjusted EBITDA in the first quarter this year amounted to $402 million, rising by $284 million year on year.
In the first quarter, Metinvest’s revenues in Ukraine amounted to $462 million, up 65 percent year on year, primarily due to higher selling prices, as well as greater sales volumes of finished steel products. International sales accounted for 75 percent of consolidated revenues in the same period. The share of Metinvest’s sales to Europe reached 37 percent, up two percentage points year on year, following a 53 percent increase in sales to the region amid higher sales volumes of slabs and iron ore products, as well as a rise in selling prices of all products. Meanwhile, sales to the Middle East and North Africa (MENA) rose by 35 percent from the same period of the previous year amid greater sales volumes of long products and higher selling prices. The share of the MENA region in consolidated revenues decreased by two percentage points year on year to 16 percent due to comparatively higher growth in sales to other markets.