The Russian steel producer Magnitogorsk Iron and Steel Works (MMK) has announced the Q1 2010 operational results of its coal mining subsidiary Belon, the financial results of which are being consolidated by MMK starting from Q4 2009.
Accordingly, in Q1 this year Belon increased its coal concentrate output by 49 percent quarter on quarter to 1.47 million mt, with its coking coal concentrate seeing the highest quarter-on-quarter increase of 74 percent.
In Q1 this year, MMK's coal segment Belon registered a $15 million net profit compared to $52 million loss in Q4 2009, while its EBITDA equaled $57 million, ensuring a margin of 38 percent.
"The timely acquisition of Belon coal company has guaranteed increasing volumes of coal concentrate supplies to MMK and contributes significantly to MMK Group financials," reads MMK's statement.
Q1 2010 (mln $) |
Q4 2009 (mln $) |
Change |
|
Concentrate production: |
1,470 |
987 |
49% |
coking coal concentrate |
846 |
486 |
74% |
steam coal concentrate |
624 |
501 |
25% |
Sales of coal segment |
150 |
94 |
60% |
EBITDA of coal segment |
57 |
8 |
612.5% |
EBITDA margin |
38% |
9% |
- |
Profit for the period of coal segment |
15 |
-52 |
- |