Russian steelmaker Severstal has announced its financial results for the first half of the current year. Accordingly, in the first half of this year Severstal recorded a net profit of $1.018 billion, up 105.7 percent year on year. Its sales revenues increased by 19.8 percent year on year to $4.43 billion in the given period, supported by a favorable steel and commodities pricing environment, while its EBITDA rose by 30.9 percent year on year to $1.58 billion.
In the first six months of this year, Severstal's crude steel output went up by six percent to 6.03 million mt compared to the same period of the previous year. In the same period, the company’s Russian Steel division’s steel product sales increased by eight percent year on year to 5.73 million mt. During the first six months, the company saw its iron ore concentrate sales volume rise by 30 percent to 2.65 million mt, while its iron ore pellet sales rose by one percent and totaled 5.5 million mt, both on year-on-year basis.
According to Severstal, demand for steel and raw materials is expected to remain at good levels. Prices for the company’s products should be further supported by the continued construction season in most parts of the world. With a strong portfolio of high-value added products, a leading cost position and its proximity to export routes, Severstal remains well positioned to adapt quickly to changing conditions and capture attractive pricing both domestically and globally.