According to Vladimir Markin, president of Russian pipe producing company United Metallurgical Company (OMK), the revenues of the company in 2011 will fall by between seven and eight percent year on year.
In addition, OMK expects that its net profit and EBITDA will decrease by 15 percent in 2011 compared to 2010. In 2010, the company recorded revenues of Ruble 118 billion ($3.6 billion), a net profit of Ruble 26 billion ($0.8 billion) and EBITDA of Ruble 37 billion ($1.1 billion). The expected fall in financial results in 2011 is due to production cuts in the second half of the year, especially in the segment of large diameter tubes.