Kazanorgsintez posts IFRS losses of 2.9 bln rubles in 2008
MOSCOW. Aug 13 (Interfax) - Tatarstan-based Kazanorgsintez , one of Russia's biggest polyethylene and polyethylene pipe producers, closed 2008 with net losses of 2.955 billion rubles to International Financial Reporting Standards (IFRS), compared with profit of 2.553 billion rubles in 2007, the company said in an earnings report.
Sales revenue fell 8.5% to 23.005 billion rubles and gross profit by 32% to 4.118 billion rubles.
The company said one of its creditors had notified it that it was calling in loans of 2.523 billion rubles. The loan was due for repayment on May 12 and the company is currently trying to negotiate debt rescheduling deals with all creditors.
Kazanorgsintez also said it was 54 days overdue on a loan of $50 million to ING Bank.
Short-term loans stood at 27.941 billion rubles at the end of 2008.
The company said in a separate earnings report that it closed the first half of 2009 with net losses of 1.868 billion rubles to Russian Accounting Standards (RAS), compared with profit of 552.4 million rubles in the same period of last year.
It said exchange-rate factors and lower gross profit drove the losses.
Revenue fell 19.2% year-on-year in the half to 10.01 billion rubles due to a drop in prices for the company's products.
However the company had net losses of 2.654 billion rubles in Q1 2009, so it must have had 786 million rubles profit in Q2 2009. The company told Interfax that this profit was generated by positive exchange-rate differences and improved operating performance.
Kazanorgsintez financial results to RAS, '000 rubles:
|H1 2009||H1 2008|
|Sales revenue||10 009 715||12 391 943|
|Cost of sold goods||8 559 052||9 540 168|
|Gross profit||1 450 663||2 851 775|
|Operating profit||30 446||1 130 920|
|Pretax profit (loss)||(2 304 067)||771 774|
|Net profit (loss)||(1 867 989)||552 367|
Long-term loans decreased 17.2% during the half to 19.794 billion rubles while short-term loans almost doubled to 9.206 billion rubles.
Past-due debt accounted for 18.385 of all liabilities as of June 30.
Telekom-Management, a wholly owned subsidiary of the TAIF holding, owns the controlling interest in Kazanorgsintez. The state-owned Svyazinvestneftekhim owns 28.4%.