Kamaz sees RAS net profit plunge 95% to 641 mln rubles in H1 2024

MOSCOW. July 17 (Interfax) - PJSC Kamaz saw net profit to Russian Accounting Standards plunge 95% year-on-year to 641.1 million rubles in H1 2024 from nearly 13 billion rubles in H1 2023, the automaker said in a financial statement.

The auto group saw revenue drop 14.9% to 156.3 billion rubles in the reporting period.

"Last year's positive financial results exceeded the previous year's figures, as the year was not typical in terms of the company's activities. We can therefore talk about the high base effect as based on the results of the first half of this year. The company is gradually returning to more familiar financial indicators. It is also worth noting that the hikes in the key rate of the Central Bank of Russia negatively affected the financial indicators for the first half of the year. Meantime, the group overall assesses the current financial results as stable," the group's press service told Interfax about Kamaz's financial results.

The company has noted separately that ramping up manufacturing of the new range of K5 model trucks has been among the factors pressuring the indicators.

"Production of trucks in the K5 model range increased by over 37% to 2,963 vehicles in the first half of this year from 2,157 vehicles in January-June 2023. Meantime, the cost of K5 vehicles is higher than that of trucks within the traditional Kamaz model range, including taking into account the import substitution program," the press service said.