Norilsk Nickel boosts Q407 RAS net income 14.3%

The increase in net income is attributed to the proceeds from the sale of treasury stock. Russian Accounting Standards do not require that the performances of the Kola branch and overseas–based assets be included into the company’s financials.

In Q407, Norilsk Nickel’s RAS net income surged 14.3% q-o-q to Rb 49,224 mln ($1.9 bln). Such growth in net income is explained by proceeds from the sale of the company’s treasury stock worth about $2.1 bln. The metal major’s FY07 net income drafted to RAS surged 40.5% y-o-y from $4.46 bln to $6.6 bln. Not counting $2.1 bln raised from the sale of the treasury stock, the company’s net income remained essentially unchanged compared with 2006.

For the record, the statement drafted to RAS is not consolidated and reflects only the operating results of Norilsk Nickel’s transpolar branch, which manufactures about 40% and 74% of total nickel and copper output, respectively.