Ukrainian steel pipe and railway wheel producer Interpipe has announced its financial results for the first half of the current year.
Accordingly, in the first half of the year Interpipe’s overall revenues declined by 16 percent year on year to $468 million mainly due to a decline in pipe sales and, concurrently, in prices for pipes. In particular, the revenues from the pipes segment dropped by 36 percent year on year to $231 million. The decline in overall revenues was partially offset by the better performance of railway products segment, the revenues from which during the given period went up by 23 percent year on year to $216 million, amid robust demand in the CIS, the MENA region and Europe. “Our railway product segment continued to demonstrate a strong performance in the second quarter of the current year, bolstered by sound demand from Europe and the Customs Union until the end of May. However, the resumption of the 34.22 percent antidumping duty on Ukrainian wheels in the Customs Union resulted in a plunge in volumes sold to the market. Domestic sales of railway products in the first half of the year slumped on the back of a contraction of railcar production in Ukraine,” Interpipe’s CEO Fadi Hraibi commented.
Meanwhile, the company’s EBITDA in the first half of the current year amounted to $149 million, rising by 19 percent year on year. In particular, 83 percent of the overall EBITDA comprised EBITDA from the railway product segment, the company stated. During the given period, the company’s pipe segment EBITDA registered a loss of $2 million, SteelOrbis has learned.