- Sputnik International
World
Get the latest news from around the world, live coverage, off-beat stories, features and analysis.

Russian steelmaker Severstal reports $944 mln half-year loss

© RIA Novosti . Anton Denisov / Go to the mediabankThe second quarter marked a turning point for the steel market
The second quarter marked a turning point for the steel market - Sputnik International
Subscribe
Russia steelmaker Severstal reported on Monday a net loss of $944 million calculated to International Financial Reporting Standards, compared with an almost $2 billion profit in the same period of last year.

MOSCOW, September 7 (RIA Novosti) - Russia steelmaker Severstal reported on Monday a net loss of $944 million calculated to International Financial Reporting Standards, compared with an almost $2 billion profit in the same period of last year.

The company's net loss in the second quarter fell more than 50% on the first quarter to $290 million. Revenue in January-June 2009 declined almost 50% to $5.6 billion, and negative EBITDA (earnings before interest, taxes, depreciation and amortization) amounted to $161 million, compared to positive EBITDA of $2.8 billion in the same period a year ago.

Losses from operations reached $623 million against profit from operations of $2.3 billion a year earlier.

Severstal's revenue grew 2% in the second quarter to almost $2.9 billion, negative EBITDA dropped to $5 million from $156 million in the previous quarter, and losses from operations contracted from $395 million to $228 million, the company said.

"The second quarter marked a turning point for the steel market, after prices reached their lowest levels in May. The combination of better market conditions, increased capacity utilization and cost saving initiatives resulted in an improvement in performance during Q2," Several CEO Alexei Mordashov said.

Severstal produces over 16% of Russian steel and has facilities in Russia, the United States, Italy, France, Britain, and Ukraine.

 

Newsfeed
0
To participate in the discussion
log in or register
loader
Chats
Заголовок открываемого материала