Russian steel giant Magnitogorsk Iron and Steel Works (MMK) has announced that in the first quarter of the current year the sales revenues of its Turkey-based subsidiary MMK Metalurji increased by 2.7 percent quarter on quarter to $113 million, reflecting expansion of the product portfolio and the partial recovery in prices for metal products in Turkey. The revenue declined by 13.1 percent year on year, mainly due to lower sales volumes for polymer-coated steel due to the early termination of EU import quotas amid the correction in global steel prices.
In the given quarter, MMK Metalurji registered an EBITDA of $3 million, due to higher prices for coated rolled steel in the domestic market amid lower prices for procured hot rolled steel.
The segment showed a growth in profitability compared to the first quarter of 2019, as prices for hot rolled metal declined faster than prices for the company’s products amid the significant correction in global steel prices.
