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NLMK Group (LSE: NLMK, MOEX: NLMK) has published today its Q4 2019 and
12M 2019* operating results. Steel
output increased by 1% qoq to 3.8 m t, following the completion of major
repairs at NLMK Lipetsk blast furnace and steelmaking operations. NLMK
Group sales grew by 4% qoq to 4.2 m t.
12M 2019 highlights:
Steel output decreased by 10% yoy to 15.7 m t, due to major repairs at
NLMK Lipetsk blast furnace and steelmaking operations. Sales volumes
decreased to 17.1 m t (-3% yoy), following the decrease in output.
Sales to 'home' markets grew to 11.4 m t (+7% yoy), driven by growth of
demand for finished flat steel and rebar in Russia. Russia accounted for
39% in Group sales (+6 p.p. yoy).
Sales to export markets decreased by 15% yoy to 5.8 m t, due to a
decrease in export sales of billets and lower pig iron sales amid major
repairs at NLMK Lipetsk.
Q4 2019 highlights
Steel output grew by 1% qoq to 3.8 m t, driven by growth of production
due to the completion of major repairs at NLMK Lipetsk BF and BOF
operations. Steel output went down by 13% from Q4 2018.
Sales volumes grew by 4% qoq to 4.2 m t, due to increased sales of pig
iron.
Sales to 'home' markets grew by 1% qoq to 2.9 m t, due to higher sales
of hot-rolled steel and long products in Russia. The share of Group
sales in Russia totalled 43% (+1 p.p. qoq).
Sales to export markets reached 1.3 m t (+2% qoq), as slab supplies were
redirected to NBH.
NLMK Group Key Operating Data
|
Production, m t |
Q4 2019 |
Q3 2019 |
QoQ |
Q4 2018 |
YoY |
2019 |
2018 |
YoY |
|
Crude steel production (without NBH) |
3.749 |
3.714 |
1% |
4.314 |
-13% |
15.531 |
17.285 |
-10% |
|
Crude steel production (with NBH) |
3.778 |
3.744 |
1% |
4.364 |
-13% |
15.696 |
17.493 |
-10% |
|
Capacity utilization |
89% |
94% |
-5 p.p. |
98% |
-9 p.p. |
94% |
99% |
-5 p.p. |
|
Sales, m t |
|
Semi-finished steel
5 |
1.425 |
1.287 |
11% |
2.023 |
-30% |
6.013 |
6.828 |
-12% |
|
Finished steel |
2.747 |
2.728 |
1% |
2.62 |
5% |
11.056 |
10.762 |
3% |
|
Flat |
2.074 |
2.096 |
-1% |
1.98 |
5% |
8.517 |
8.348 |
2% |
|
Longs and metalware |
0.674 |
0.632 |
6% |
0.64 |
5% |
2.539 |
2.414 |
5% |
|
Total consolidated sales |
4.172 |
4.015 |
4% |
4.643 |
-10% |
17.069 |
17.591 |
-3% |
|
Sales to home markets of the Group
6 |
69% |
69% |
0 p.p. |
55% |
+14 p.p. |
66% |
61% |
+5 p.p. |
|
Sales to external markets |
31% |
31% |
0 p.p. |
45% |
-14 p.p. |
34% |
39% |
-5 p.p. |
|
For information: slab sales to foreign subsidiaries and
affiliates |
0.851 |
0.55 |
55% |
0.954 |
-11% |
3.069 |
4.282 |
-28% |
|
Segment sales |
|
Russian Flat Products |
3.226 |
2.776 |
16% |
3.557 |
-9% |
12.46 |
13.516 |
-8% |
|
Russian Long Products |
0.674 |
0.693 |
-3% |
0.841 |
-20% |
2.85 |
3.185 |
-10% |
|
Mining |
4.56 |
4.784 |
-5% |
4.751 |
-4% |
18.446 |
18.377 |
0% |
|
NLMK USA |
0.472 |
0.549 |
-14% |
0.504 |
-6% |
2.205 |
2.285 |
-3% |
|
Dansteel |
0.128 |
0.118 |
9% |
0.12 |
7% |
0.529 |
0.52 |
2% |
|
For information: NBH Sales |
0.518 |
0.537 |
-3% |
0.54 |
-4% |
2.185 |
2.229 |
-2% |
Source from
NLMK |
