AvtoVaz expects even better results for H2
MOSCOW. Oct 5 (Interfax) - Russian carmaker OJSC AvtoVaz plans to post higher financial results for the second half of 2012 compared to the results for the first half, the company's vice-president for finance and corporate development, Oleg Lobanov, said at a presentation on the company's IFRS (international financial reporting standards) results for the first half of 2012.
"We expect the second half's results to be even more optimistic," he said.
It was earlier reported that AvtoVaz increased its net profit in January-June 2012 to 27.4 billion rubles from 6.4 billion rubles in the same period of 2011.
Commenting on the possibility of raising a loan from Vnesheconombank, Lobanov said that negotiations with the state bank will continue once Russia's ministries and government approve the updated program for the enterprise's development until 2020.
He added that AvtoVaz hopes to transfer several noncore assets to Russian Technologies in the second half in order to pay off a portion of loans allocated to the carmaker. These assets include Volga Mechanical Plant, AvtoVaz-Trans and a company engaged in water supply for one of Togliatti's districts.
The top-manager said that the carmaker has plans to sell around 700,000 cars and vehicle sets, including around 530,000 assembled cars, on the Russian market.
Commenting on the market estimate for AvtoVaz shares, Lobanov said that he thinks the share price on the market does not reflect the qualitative changes, which are now happening at the enterprise.
"We will think about what can be done with the free float so that efficiency is boosted," he said, adding, however, that no changes in the company' shareholder structure will take place before Renault-Nissan and Russian Technologies' joint venture finally acquires control in AvtoVaz.
