Metinvest announced financial results for 2012. Pure profit losses reached 77 percent

The maternal company of the international vertical and integrated mining and metallurgical group of companies Metinvest B.V. announced today the results of the financial activity of the enterprise for 2012.

According to the company’s report, the operating profit in 2012 decreased by 65 percent - to $ 979 million, the revenue decreased by 11 percent - to $ 12 billion, the profit to taxation decreased by 46 percent - to 1 billion 985 million dollars.

The company had to reduce capital investments by 34 percent - to $ 765 million, while net profit amounted to $ 435 million, which is 77 percent less than in 2011.

“The sharp drop in our main products was put on profitability. The EBITDA indicator amounted to US $ 1,985 million per year. This made it possible to get a margin of 16 percent, which was much better than the level that could be expected in the unfavorable year,” his financial director Sergei Novikov commented on the financial results of Metinvest.

Metallurgical enterprises of the Metinvest group in 2012 reduced the production of steel by 13 percent - to 12 million 459 thousand tons.

The mining division increased the extraction of coking coal by 3 percent - to 11 million 623 thousand tons, and the production of iron ore concentrate per 1 percent is up to 36 million 224 thousand tons.

In 2012, Metinvest continued to expand his presence in the market. To expand its own network of metal rolling sales, the company purchased 4 service metal centers in Western Ukraine, a large warehouse in the Russian Belgorod Belgorodmetallosnab and opened a new metal warehouse in Penza.

"Last year, the situation in the world steel and mining industry was complicated, because certain regions continued to experience the influence of the global financial crisis, especially in the EU ... Our main financial indicators reflected the general state of industry," says General Director Metinvest Igor Swed.