Russia-based leading global iron ore and hot briquetted iron (HBI) producer Metalloinvest has announced its financial results for the first quarter of the current year. In the first quarter, Metalloinvest registered a net profit of $416 million compared to a net profit of $391 million in the first quarter of the previous year, while its revenue increased by 19.3 percent year on year to $1.81 billion, mainly as a result of the increase in average prices of pig iron and steel products as a result of growth in global prices, as well as the rise in prices for HBI due to the increase in export scrap prices.
Meanwhile, in the first quarter, Metalloinvest's EBITDA rose to $675 million rising by 28.1 percent year on year, while its EBITDA margin went up by 2.5 percentage points year on year to 37.2 percent. The company’s steel segment had the most significant impact on the growth of consolidated EBITDA in the given quarter.
Andrey Varichev, Metalloinvest's CEO, stated that in the first quarter the company further strengthened its financial position, due to an increase in its high value-added product sales and, consequently, the proportion of total shipments of these products in its sales structure, which was also supported by favorable market conditions and the implementation of the company's operational efficiency program. Mr. Varichev added that Metalloinvest's EBITDA margin has reached its highest level in the last five years, while it has continued to modernize its production facilities and digitally transform its business processes, to create further opportunities for future growth.