Magnitogorskiy Metallurgicheskiy Kombinat OAO logo

42CL - Magnitogorskiy Metallurgicheskiy Kombinat OAO News Story

n/a 0.0  0.0%

Last Trade -

Sector
Basic Materials
Size
Micro Cap
Market Cap £n/a
Enterprise Value £n/a
Revenue £6.44bn
Position in Universe th / 1785

UPDATE 1-Russia's MMK core earnings slide 19 pct y/y in Q2 on higher costs

(Adds details, company comments) 
    MOSCOW, Aug 7 (Reuters) - Russia's MMK  MAGN.MM , one of the 
country's biggest steelmakers, said on Monday it's 
second-quarter core earnings fell 19 percent year-on-year on the 
back of higher production costs. 
    MMK's earnings before interest, taxation, depreciation and 
amortisation (EBITDA) totalled $455 million in the second 
quarter, down from $560 million in the same period last year. 
    Prospects for Russian steelmakers such as MMK and 
market-leader NLMK  NLMK.MM  have improved in 2017 after two 
hard years, due to higher metals prices and a nascent recovery 
in the Russian economy. MMK's core earnings more than doubled in 
the first quarter.  urn:newsml:reuters.com:*:nL8N1ID2WW 
    But the company said its earnings had been hit in the second 
quarter by higher prices for the raw materials used in 
production compared to the previous year. 
    "The key factor in the second quarter of 2016 was lower 
materials prices which resulted in lower production costs," a 
company spokesman told Reuters. 
    "Nevertheless, the company's management currently sees a 
seasonal improvement in demand on the domestic market, which 
leads us to expect an increase in sales volumes in the third 
quarter."      
    MMK's net profit fell 10 percent year-on-year to $297 
million. Revenue totalled $1.9 billion, the company said, up 
from $1.6 billion in the same period last year.  
    The company's steel output for the period grew 4 percent 
quarter-on-quarter to 3.2 million tonnes, it said in a statement 
last month.  urn:newsml:reuters.com:*:nS8N1IK00M 
 
 (Reporting by Jack Stubbs; Editing by Maria Kiselyova and 
Pritha Sarkar) 
 ((jack.stubbs@thomsonreuters.com; +7 495 775 12 42; Reuters 
Messaging: jack.stubbs.thomsonreuters.com@thomsonreuters.net)) 
 
Keywords: RUSSIA MMK/RESULTS
© Stockopedia 2021, Refinitiv, Share Data Services.
This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.