Russian mining and steel group Mechel has announced its financial results for the first nine months of the current year. In the given period, the company registered a net profit of RUB 11 billion ($165 million) decreasing by one percent year on year. For the same period, Mechel’s sales revenues rose to RUB 237 billion ($3.5 billion), increasing by six percent year on year. The operating profit of the company rose by three percent year on year to RUB 47.8 billion ($717 million).
The revenue of Mechel’s mining segment from external customers in the first nine months of this year totaled RUB 73.3 billion ($1 billion), down two percent, while its steel segment’s revenue from external customers in the same period amounted to RUB 143.8 billion ($2.1 billion) up 11 percent, both year on year.
Mechel’s CEO Oleg Korzhov stated that the company’s small growth in operating activities stemmed from the necessary planned repairs at the company’s steelmaking facilities that increased operational costs, though they did not have a major impact on revenue due to the favorable market conditions.