Evraz posts $2.4 bln EBITDA, $12.5 bln sales in 9M
MOSCOW. Nov 15 (Interfax) - Evraz plc had sales revenue of $12.537 billion and adjusted earnings before taxes, depreciation and amortization (EBITDA) of $2.401 billion in January-September, the steel producer said in an interim management report.
Evraz expects Q4 EBITDA of $500 million-$600 million.
Evraz sold 11.7 million tonnes of steel products in the nine months.
"The seasonal change in the product mix in favour of lower-margin semi-finished products, coupled with slightly lower prices for the main product groups due to the volatile global economic environment, is impacting Evraz's performance in the fourth quarter," the company said.
The nine-month adjusted EBITDA was $2401 billion (Q3 2011 EBITDA was $772 million) with adjusted EBITDA margin of 19.2% (18.6% in Q3 2011).
Interest expense was $551 million in the first nine months of 2011 ($164 million in Q3 2011).
Total debt as of September 30, 2011 amounted to $7.214 billion, including $672 million of short-term loans and current portion of long-term debt.
Cash and cash equivalents at the end of the period stood at $578 million.
Capital expenditures amounted to $945 million in the first nine months 2011 ($483 million in Q3 2011).
Selected sales data:
| 9M 2011 | 3Q 2011 | |||
| Sales volumes*, thousand tonnes | Revenue, US $ million | Sales volumes*, thousand tonnes | Revenue, US $ million | |
| Steel products | 11,708 | 10,094 | 3,762 | 3,390 |
| Semi-finished products | 2,728 | 1,750 | 824 | 546 |
| Construction products | 4,076 | 3,319 | 1,366 | 1,194 |
| Railway products | 1,595 | 1,508 | 527 | 512 |
| Flat-rolled products | 2,207 | 2,160 | 675 | 662 |
| Tubular products | 660 | 958 | 238 | 351 |
| Other steel products | 442 | 399 | 132 | 125 |
| Mining products | 796 | 236 | ||
| Iron ore products | 4,318 | 488 | 1,205 | 134 |
| Coal | 1,998 | 308 | 702 | 102 |
| Coking coal | 29 | 2 | 7 | - |
| Coking coal concentrate | 1,801 | 298 | 589 | 96 |
| Steam coal | 165 | 8 | 106 | 6 |
| Steam coal concentrate | 3 | - | - | - |
| Vanadium products (metric tonnes of vanadium equivalent) | 17,627 | 462 | 6,539 | 160 |
| Other revenues** | 1,185 | 371 |
*Inter-company volumes have been eliminated
**Including $244 million and $85 million of revenue from rendering of services (social, infrastructure, transportation, maintenance etc. services provided to third parties) in 9M 2011 and 3Q 2011, respectively.
Evraz Group is a vertically-integrated steel, mining and vanadium business with operations in Russia, Ukraine, Europe, USA, Canada and South Africa. Evraz's internal consumption of iron ore and coking coal is covered by its mining operations.
