Russian steelmaker Severstal has announced its financial and operational results for the fourth quarter and full year of 2025.
According to the information released by Severstal, the company has posted sales revenues of RUB 712.89 million ($9.27 million) for 2025, with a 14.1 percent decrease year on year. The sales revenues in the last quarter went down by 15.8 percent year on year to RUB 169.57 million ($2.21 million), due to a drop in average steel product prices, including an increase in the share of semi-finished products in the sales portfolio.
Severstal’s net profit in 2025 amounted to RUB 31.99 million ($416,205), down 78.6 percent from RUB 149.55 million recorded in 2024, while the company posted a net loss of RUB 17.75 million ($230,936) in the fourth quarter of 2025, compared to RUB 33.49 million in the same quarter of 2024.
Severstal’s EBITDA decreased by 42.1 percent year on year to RUB 137.61 million ($1.79 million) in 2025, while its EBITDA margin decreased by ten percentage points to 19 percent. EBITDA in the fourth quarter was down by 49.4 percent year on year to RUB 23.46 million ($305,226), while the EBITDA margin declined by nine percentage points year on year to 14 percent.
In the fourth quarter, the company’s crude steel output totaled 2.76 million mt, up by 2.8 percent year on year, while its pig iron production in the given period totaled 2.91 million mt, increasing by 1.9 percent compared to the same quarter of 2024. In the given quarter, Severstal’s steel sales totaled 2.93 million mt, remaining almost stable year on year, while its iron ore sales increased by 71.5 percent to 475,000 mt. In particular, the company’s sales of finished steel products increased by 4.2 percent year on year to 1.17 million mt. Sales of high value-added steel, on the other hand, decreased by 6.7 percent year on year to 1.33 million mt.
In the meantime, in 2025 crude steel and pig iron outputs amounted to 10.82 million mt and 11.21 million mt, respectively, up by 4.2 percent, following major overhauls carried out in the previous year, and 11.7 percent year on year, while iron ore sales to third parties decreased by 21.7 percent to 1.74 million mt, due to increased raw material demand at the Cherepovets Steel Mill. In addition, in 2025 the company’s steel sales amounted to 11.24 million mt, up 3.6 percent year on year, while high-value added steel sales went down 1.1 percent year on year to 5.56 million mt, due to lower demand for large-diameter pipes, following the postponement of oil and gas investment projects under the pressure of high key interest rates.
Alexander Shevelev, CEO of Severstal Management, said that 2025 was a challenging year for both the Russian and global steel industries, with crisis trends intensifying further. A prolonged downturn in China’s real estate sector pushed Chinese steel exports up by 7.5 percent year on year to a record 119.02 million mt, exerting strong pressure on prices across global markets. At the same time, steel demand in Russia weakened significantly as economic activity cooled amid high key interest rates. Domestic steel consumption fell by around 14 percent year on year, leading to lower steel prices throughout 2025.
Looking ahead, Shevelev said steel demand is expected to remain under pressure in 2026, although Severstal plans to maintain full capacity utilization and target a steel output of around 11.3 million mt, while continuing to support customers through differentiated products and services.