In its financial results according to US GAAP (Generally Accepted Accounting Principles) for Q2 and H1 of the current year, Russian steelmaker Severstal increased its net profit in Q2 by 15.4 percent compared to the previous quarter to $600 million, while in the first half of this year the company's net profit reached $1.12 billion, compared to a net loss of $593 million recorded in the same period of last year.
In Q2 this year, Severstal's sales revenues increased by 17.6 percent quarter on quarter reaching $4.38 billion while Severstal's revenues in the first half of this year were recorded at $8.11 billion with an increase of 27.1 percent compared to the same period of last year. At the same time, EBITDA increased 18.7 percent to $1.109 billion in Q2 and the EBITDA margin was up 25.3 percent from the 25.1 percent recorded in Q1 2011, due to strong Steel Resources performance and continuing improvement at North American operations resulting in significantly higher selling prices.
Commenting on the fiscal results of the company, Alexey Mordashov, CEO of Severstal, stated "Our strong performance in the second quarter and the whole first half of the year 2011 again demonstrated the benefits of our vertically-integrated model, low-cost operations and focus on high growth and high margin segments. We remain on track to fulfill our planned 2011 capital expenditure program, with some projects running ahead of schedule."