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PhosAgro PJSC (PHOR)
PhosAgro PJSC: PhosAgro Board of Directors Recognises Company’s Successful
Results in 2022
03-March-2023 / 14:45 MSK
The issuer is solely responsible for the content of this announcement.
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PhosAgro Board of Directors Recognises Company’s Successful Results in
2022
Moscow – The Board of Directors of PhosAgro (Moscow Exchange, LSE: PHOR),
one of the world’s leading vertically integrated phosphate-based
fertilizer producers, has declared the Company’s operating and financial
results for 2022 a success.
In summarising the results of the Company’s operations in 2022, PhosAgro
CEO Mikhail Rybnikov said:
“Last year, we able to continue our strong growth despite external
challenges. We made considerable progress in production and sales and in
the implementation of our investment programme.
“We set a new all-time record in 2022: our enterprises produced 11.1
million tonnes of agrochemical products, an increase of nearly 5% from
2021. This result was made possible thanks to the professionalism of our
entire workforce and continuous large-scale investments in the Company’s
fixed capital. Last year, we took another confident step towards achieving
our 2025 strategic objectives.
“As part of our long-term development strategy in 2022, industrial testing
began at our Kirovsky mine’s new +10 m level. It is going to compensate
for levels that are being shuttered and will not only maintain the mine’s
overall output volumes but will also increase them from 22.8 million
tonnes in 2021 to 25 million tonnes of ore by 2025. In early 2022, our
Cherepovets site began operating its upgraded aluminium fluoride shop with
increased capacity. In April, the main works were completed to increase
the design capacity of the third ammonia production line to 107%. As part
of the next stage in the strategic development of our Balakovo facility, a
phosphoric acid storage facility was built in 2022, and the main
construction and installation works were completed to increase the
facility’s production capacity for granular ammonium sulphate – a unique
fertilizer brand that, in Russia, is produced only in Balakovo – to 360
thousand tonnes per year. The first batch of water-soluble MAP, an
innovative product in high demand among farmers, was produced during pilot
testing in Volkhov. In total, we invested a record RUB 63 billion last
year, a third more than in 2021.
“In 2023, we are going to raise the bar even higher, with planned capex
expected to reach nearly RUB 67 billion. The second start-up complex for
the 10th horizon at the Kirovsky mine is expected to come online by the
end of the year. In Cherepovets, in addition to projects to support
capacities for the production of ammonia, phosphoric acid and sulphuric
acid, a project to increase the processing of phosphate rock under
development. In Balakovo, we are going to complete projects to increase
the production of feed phosphates and sulphuric acid by the end of the
year, and we are also starting the third stage in the development of the
production facility by establishing a flexible arrangement for the
production of MAP/DAP/NPS/NPK fertilizers. Our new million-tonne plant in
Volkhov is expected to reach design capacity in 2023. Furthermore, the
possibility of building new facilities for the production of ammonia and
urea in Cherepovets and Volkhov is being analysed.
“Thanks to the consistent implementation of our investment programme, we
can expect a further increase in the production of agrochemical products
in 2023. Our workforce laid the groundwork for this in January–February,
as we increased production of phosphoric acid and sulfuric acid by 22% and
17% year-on-year respectively over this period.”
“Our steadily increasing production has enabled us not only to make a key
contribution to ensuring national food security but also to ensure that
our employees are paid decent wages: in 2021, the average salary increased
by 10%, and salaries were indexed by a further 12% in February 2022 (the
average salary rose by 22%). This was an important step in supporting the
social safety net and maintaining stability in the regions where we
operate. Our tax payments at all levels rose by 50% last year to over RUB
59 billion. This year, we will continue to fulfil all our obligations in
terms of social development in the regions where we operate, having
provided a record amount of support for social and charitable projects
last year, increasing the amount of funds allocated for these purposes by
nearly 150% (RUB 12.9 billion). Thus, our traditional commitment to ESG
principles will remain a top priority,” said Viktor Cherepov, Chairman of
PhosAgro’s Board of Directors.
The Board of Directors took note of the Company’s 2002 financial results
as well as its consolidated IFRS financial statements for 2022. The Board
also took note of the Company’s annual financial statements for 2022.
The Board of Directors also recommended that the Annual General Meeting of
Shareholders (AGM) allocate a portion of the Company’s retained earnings
for dividend payments, at the rate of RUB 465 per ordinary share. It was
recommended that the AGM confirm 4 April 2023 as the dividend record date.
In addition, a list of candidates for election to PhosAgro’s Board of
Directors at the AGM was approved, as was a list of candidates for the
Company’s Audit Commission.
The agenda for the AGM will include the approval of the Company’s annual
report and annual financial statements for 2022; the distribution of
profits, including the payment of dividends, and losses based on the
Company’s 2022 results; the election of members of the Board of Directors
and the payment of remuneration and compensation to members of the Board
of Directors; the election of members of the Audit Commission; and the
approval of the Company’s auditor for 2023.
About the Company
PhosAgro (www.phosagro.ru) is a vertically integrated Russian company and
one of the world’s leading producers of mineral phosphorous fertilizers
and of high-grade apatite concentrate grading 39% P2O5 and higher.
PhosAgro’s fertilizers are highly effective, ensuring the improved quality
of agricultural produce.
PhosAgro Group is the largest manufacturer of phosphate-based fertilisers
in Europe (by total capacity of DAP/MAP/NP/NPK/NPS production), the
largest producer of phosphite grading 39% P2O5 in the world and one of the
leading global producers of ammonium and diammonium phosphate, one of
Europe’s leading and the only producer in Russia of monocalcium phosphate
feed (MCP), and the only producer in Russia of nepheline concentrate.
The company’s main products, including phosphite, 57 grades of fertilizer,
phosphate feed, ammonium, and sodium tripolyphosphate, are used in around
100 countries on all inhabited continents. Our priority markets, besides
Russia and the CIS, are Latin America, Europe, and Asia.
The company's shares are listed on the Moscow Exchange and its Global
Depositary Receipts (GDRs) are listed on the London Stock Exchange (MOEX
and LSE ticker: PHOR).
More information about PhosAgro PJSC can be found on our site:
1 www.phosagro.ru
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The issuer is solely responsible for the content of this announcement.
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ISIN: US71922G2093
Category Code: MSCU
TIDM: PHOR
LEI Code: 25340053KRUNNYUWF472
OAM Categories: 2.2. Inside information
Sequence No.: 227413
News ID: 1574379
End of Announcement EquityStory RS News Service
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