Russian mining and steel group Mechel has announced its consolidated financial results for 2015. In the given year, Mechel saw a net loss of RUB 115.16 billion ($1.77 billion) compared to a net loss of RUB 132.7 billion in 2014. In 2015, Mechel's sales revenues increased by four percent year on year to RUB 253.1 billion ($3.89 billion), while its EBITDA rose by 54 percent year on year to $45.7 billion ($704.9 million).
The revenue of Mechel's mining segment from external customers in 2015 totaled RUB 80.63 billion ($1.24 billion), up one percent, while its steel segment's revenue from external customers in the same year amounted to RUB 146.03 billion ($2.25 billion), up five percent, both compared to the previous year.
Mechel stated that in 2015 the trend in the steelmaking commodity markets was mostly negative. In these conditions, Mechel’s mining segment faced cuts in metallurgical coal sales. The chief decrease was in export sales, especially to China. At the same time, the company increased coal supplies for internal use. In the steel segment, throughout the given year, Mechel had to cope with weakened demand for steel products in the construction industry which is crucial for the segment’s sales structure.