The Ukrainian mining and steel producing group Metinvest has announced its results for the first half of 2013.
In the given period, Metinvest's net profit amounted to $443 million, rising 31 percent compared to the same period of the previous year. The company's sales decreased by three percent year on year to $6.5 billion, mainly due to a 13 percent decline in average prices for steel products and a slump in sales volumes of tubular products. The metallurgical division accounted for 73 percent of external sales and the mining division accounted for 27 percent.
During the first six months, the company's adjusted EBITDA amounted to $1.24 million, up 14 percent year on year, with an EBITDA margin of 19 percent.
"Global trends in the prices of steel and raw materials impacted our top line in the first six months of 2013. Following modest rises to the end of the first quarter, benchmark steel prices fell in the second quarter and on average remained substantially lower year on year. After collapsing in the second half of 2012, iron ore prices recovered strongly in the first six months of this year, although we now expect them to come under pressure again. Coking coal prices remained weak in the first half, probing the lows last seen in 2009," said Metinvest CFO Aleksey Kutepov.
