Key results:
Revenue – 185,477 million
EBITDA – 39,291 million
Investments – 43 524 million
Production:
Cast iron – 2,696,000 tons.
Steel – 2,504 thousand tons.
Sales:
Steel production – 2,788 thousand tons.
GVA products – 1,412 thousand tons.
Iron ore – 596 thousand tons.
Alexander Shevelev, CEO of Severstal:
"Even in the face of market compression, thanks to our effective marketing strategy, we managed to increase sales of steel products by 4% YoY to 2.79 million tons. However, revenue decreased by 16% YoY due to a drop in average selling prices and an increase in the share of semi-finished products in the sales portfolio. EBITDA decreased by 36% YoY to RUB 39.3 billion, and the EBITDA margin was 21% (compared to 28% in Q2 2024).
Despite the pressure on profits, we continued to implement major strategic development projects – in the second quarter we invested 43.5 billion rubles in production, which is 2 times more than in the second quarter of last year. The funds will be used to modernize blast furnace facilities, build a pelletizing plant, and develop high-yield products. The release of 14.3 billion rubles from working capital (due to a decrease in stocks of raw materials and finished products, as well as a decrease in trade receivables) allowed us to generate a positive cash flow of 3.6 billion rubles. At the same time, our debt burden remains one of the lowest in the industry (Net debt/EBITDA 0.01x), and the size of the cash position guarantees the implementation of investment programs from our own funds even in the current conditions."
For more information about how Severstal performed in the 2nd quarter of 2025, see the cards and on the website!
