Evraz announces preliminary results for year

Evraz Group S.A today announces its preliminary audited results for the year ended 31 December 2007.

 

2007 Highlights:Financials:

Revenue grew 54.5% to $12,808 mln from $8,292 mln in 2006 due to acquisitions, improved sales mix and growth in average prices of steel products.

Consolidated adjusted EBITDA was up 61.0% to $4,254 mln from $2,642 mln in 2006.

Net profit attributable to equity holders of Evraz Group S.A. grew 55.7% to $2,144 mln from $1,377 mln in 2006.

Record operating cash flow of $2,957 mln, a 41.9% increase year-on-year, due to higher profit margins and continuing focus on working capital management..

Earnings per GDR increased by 54.3% to $6.05 from $3.92 in 2006.

 

Steel:

Crude steel production grew by 1.9% year-on-year to 16.4 mln tn.

Total steel sales volumes increased by 3.2% to 16.4 mln tn.

 

Vanadium:

Vanadium products sales increased 74.0% year-on-year to 22,100 tonnes of pure vanadium equivalent.

Revenues attributable to sales of vanadium products soared by 162.6% to $583 mln.

 

Mining:

Iron ore production grew by 10.6% to 18.9 mln tns with iron ore self-coverage of 87%. The acquisition of the remaining 50% of Yuzhkuzbassugol in June gave Evraz 100% ownership of the coal company, making Evraz fully self-sufficient in coal.

 

Corporate developments and acquisitions:

Simplification of corporate structure resulting from buyout of minority stockholders at Group’s Russian subsidiaries.

Acquisition of Oregon Steel Mills for $2.3 bln completed in January

Acquisition of 93.35% of ZapsibTETs for $231 mln in May

Acquisition of control over Highveld Steel and Vanadium Corporation in April

Acquisition of outstanding 50% in Yuzhkuzbassugol for $871 mln in June.