VSMPO-Avisma RAS net profits plunge 80% in Jan-Sept
YEKATERINBURG. Nov 15 (Interfax) - The Russian corporation OJSC VSMPO-Avisma turned net profits of 384.75 million rubles as calculated to Russian Accounting Standards (RAS) in Q1-Q3, an 80% drop year-on-year, the company reported.
The corporation is a leading producer of titanium and magnesium alloys, including ingots and mill products. It also produces aluminum alloys, ferrotitanium, and other metal products.
The corporation's sales revenue went down by 7.2% to 17.7 billion rubles in the nine months.
The company said in its materials that its sales revenue decreased owing to changes in the structure of sold production and a drop in the U.S. dollar's rate.
"The corporation was forced to take such measures during the world financial crisis in order to secure the loyalty of its main counteragents and lay the foundation for an increase in total sales for 2011," the company said.
VSMPO-Avisma's main financial results in Jan-Sept 2010 (in thousands of rubles):
|Result||Jan-Sept 2010||Jan-Sept 2009|
|Sales revenue||17 771 539||19 144 867|
|Production costs||12 640 019||11 568 445|
|Gross profit||5 131 520||7 576 422|
|Profit from sales||2 299 907||4 921 203|
|Pretax profit||442 034||2 630 281|
|Net profit||384 750||1 944 887|
VSMPO-Avisma's accounts receivable dropped to 110.878 million rules on September 30 from 119.137 million rubles at the start of the year. The company's accounts payable went up to 4.26 billion rubles from 2.934 billion rubles.
The state-run corporation Russian Technologies is VSMPO-Avisma's main shareholder with a 66% stock interest.