Sglogo_1

 

Events Reports Directory Forum Articles Job Post Resume Post Links Currency Archive Metal Rate Archive Glossary Import Duty Structure Incoterms 2000 Technical Info Trade Leads Currency Codes Contact Us Disclaimer Feedback Privacy Policy Site Map

 

FAIL (the browser should render some flash content, not this).

September 08, 2008


NLMK announce preliminary results for 2007

Novolipetsk Steel, the LSE listed leading Russian steel producer, announced its preliminary consolidated US GAAP results for the year ended December 31st 2007.

NLMKs key financial highlights for 2007

 20072006Change
Revenue7.7196.04528%
Gross profit3.7422.97126%
Operating income2.9982.24334%
EBITDA3.3662.63128%
EBITDA margin44%44%
Net profit2.2472.0669%

In billion USD

Mr Alexey Lapshin president of NLMK’s said “2007 proved to be a very successful year for NLMK. An increase in sales of high value added products coupled with growing demand for steel products as well as ongoing production costs control enabled NLMK to achieve a high level of operating profit. Highly professional management and sustainable steel demand have encouraged the company’s more efficient use of existing capacity: steel making and rolling facilities have been operating at almost 100% capacity.”

He said that “The decrease of semi-finished product share in total sales volume and further development of high value added product portfolio are key targets of NLMK’s strategy. In 2007, the company has made a significant progress in this area. The total sales during the year amounted to 9.2 million tonnes of steel products while the sales of high margin products, hot dip galvanized and grain oriented steel went up 13% and 45%. At the same time, the sales of semi finished products decreased by 10%.These developments combined with upward pricing trends in key markets allowed us to remain profitability leader in the global steel industry.”

Mr Galina Aglyamova Commenting CFO of NLMK’s said “NLMK Group has demonstrated record financial results last year. The consolidated sales revenue for 2007 reached USD 7,719.1 million. All Group segments showed increase in production volumes and financial results. The consistent implementation of the company’s growth strategy and utilization of our competitive strengths helped us to achieve a record financial performance. EBITDA improved by 28% to USD 3 366.2 million, with an EBITDA margin of 44%.”

He said that “The liquidity crisis at the end of last year did not affect NLMK’s financial results. During 2007, we continued to finance organic growth and acquisitions by group cash-flow. This year, we do plan to use debt to finance dynamic development of the company through asset acquisitions and capital expenditures. Given the company’s robust financial position and high credit ratings we are confident of the effectiveness of this approach.”