Q2 2019 and 6M 2019 NLMK GROUP TRADING UPDATE
Source: RNSPress release
15 July 2019
Q2 2019 and 6M 2019 NLMK GROUP TRADING UPDATE
NLMK Group (LSE: NLMK, MOEX: NLMK), a vertically integrated steel company, has published today its Q2 2019 and 6M 2019* operating results.
Q2 2019 highlights:
· Steel output decreased by 5% qoq to 4 m t due to the launch of overhauls at NLMK Lipetsk blast furnace (BF) and basic oxygen furnace (BOF) operations. A 9% yoy steel output reduction is also attributable to this factor.
· Sales declined by 7% qoq to 4.3 m t (-3% yoy), driven mainly by reduced output and sales of commercial slabs and billets. This resulted in a 2 p.p. qoq increase in the share of HVA products in total sales volume (+1 p.p. yoy).
· Sales to "home" markets grew by 11% qoq (+12% yoy) to 3 m t, supported by the seasonal growth in demand for long and flat products in Russia. The share of Group sales to "home" markets increased to 71% (+14 p.p. qoq, +9 p.p. yoy).
· Group sales to export markets dropped to 1.2 m t (-40% qoq, -26% yoy). Export reduction was due to lower export sales of semi-finished products against the backdrop of overhauls at NLMK Lipetsk.
6M 2019 highlights:
· Steel output decreased by 6% yoy to 8.2 m t due to the launch of overhauls at NLMK Lipetsk BF and BOF operations.
· Sales grew by 4% yoy to 8.9 m t, driven by higher demand for finished steel on the Russian market, and due to destocking of inventories accumulated at 2018 year-end at the beginning of the year. The share of HVA products increased by 1 p.p. yoy.
· Sales to "home" markets grew to 5.6 m t (+7% yoy) due to increased demand for finished long products on the Russian market. The Group's export sales grew by 1% yoy to 3.2 m t.
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IR contact info: Dmitry Kolomytsyn, CFA +7 (495) 504 0 504 |
Media contact info: Andrey Sogrin +7 (495) 504 0 504 |
* Hereinafter, Q2 2019 output and sales figures are preliminary and can by updated. Hereinafter, NLMK Group steel output and sales on "home" markets are shown taking into account NBH performance. Product sales are shown without taking into account NBH performance. Sales to NLMK Group's "home" markets are understood to be sales by NLMK Group companies in the regions where the products are produced in Russia, the EU and the USA.
NLMK Group's Q2 2019 operating performance
Steel output decreased by 5% qoq (-9% yoy) to 3.99 m t, driven by the overhauls at BF and BOF operations at NLMK Lipetsk, and a decrease in steel output at NLMK Russia Long due to low demand for billets on export markets.
Sales decreased by 7% qoq (-3% yoy) to 4.27 m t due to lower export sales of semi-finished products driven by overhauls at NLMK Lipetsk.
Sales mix: finished steel sales dropped by 3% qoq to 2.75 m t due to lower export sales of NLMK Lipetsk's hot-rolled steel. The share of HVA products increased by 2 p.p. qoq (+1 p.p. yoy) to 30%. Sales of semi-finished steel to third parties fell by 39% qoq to 0.81 m t (-18% yoy). Slab deliveries to NBH increased by 61% qoq (+8% yoy) to 0.71 m t due to Segment's higher sales (Appendix 2).
Sales to home markets rose by 11% qoq (+12% yoy) to 2.97 m t due mainly to higher sales in Russia (+17% qoq; +21% yoy to 1.7 m t) amid the seasonal uptick in demand for finished steel and semis for the production of oil and gas pipes. Sales in the US went down by 3% qoq (-8% yoy) amid an anticipated further drop in prices. Sales of NLMK's European companies grew by 9% qoq (+11% yoy), driven by the seasonal uptick in demand for strip products, mainly from industrial manufacturers (Appendix 1).
Sales to export markets fell by 40% qoq (-26% yoy) to 1.21 m t due to lower export sales of NLMK Lipetsk's slabs.
*with NBH; ** without NBH
NLMK Group's 6M 2019 operating performance
Steel output decreased by 6% yoy to 8.18 m t, driven by the overhauls at NLMK Lipetsk BF and BOF operations, and a decrease in steel output at NLMK Russia Long due to low demand for billets in export markets.
Sales grew by 4% yoy to 8.88 m t, driven by an increase in demand for finished steel, and the sales in Q1 2019 of flat steel and slab stocks accumulated in ports at 2018 year-end.
Sales mix: finished steel sales grew by 7% yoy to 5.58 m t thanks to higher shipments of flat steel in Q1 2019 through destocking of inventories accumulated by the end of 2018. Higher sales of long products in Russia in Q2 2019, driven by increased demand from the construction sector served as an additional factor. Sales of HVA products increased by 5% yoy to 2.57 m t. The share of HVA products in the sales portfolio remained flat yoy at 29%. Sales of semi-finished products to third parties grew by 6% yoy. Slab deliveries to NBH dropped by 9% yoy to 1.15 m t due to lower demand for slabs in Q1 2019 associated with NLMK Clabecq restructuring (Appendix 2).
Sales to home markets increased to 5.64 m t (+7% yoy), driven mainly by higher sales of finished steel in Russia in Q2 2019, amid the seasonal uptick in demand for finished steel and semis for the production of oil and gas pipes. Sales in Russia grew by 15% yoy to 3.2 m t. NLMK's US sales declined by 1% yoy due to lower demand for hot-rolled steel. Sales of NLMK's European companies declined by 4% yoy, driven by lower demand for plates in Q2 2019 (Appendix 14).
Sales to export markets increased by 1% yoy to 3.22 m t.
*with NBH; ** without NBH
Global prices:
Q2 2019
Average raw material prices in the global market:
· Average coal prices in the global market went down by 1% qoq (+6.9% yoy). Average coal prices in Russia in dollar terms remained almost flat qoq (+1.4% yoy), the ruble appreciation offsetting the decline in ruble quotes in line with global trends.
· Average iron ore prices grew by 23% qoq (+53% yoy). Uncertainty with Brazilian supplies, and record-high steel output in China supported the growth in prices.
· Scrap prices in the US dropped by 10% qoq (-22% yoy), driven by lower rolled steel prices. In Russia, prices reduced by 8% qoq (-12% yoy) amid seasonal supply growth.
Average steel product prices:
· Seasonally high demand pushed up prices for steel products on the Russian market. Average dollar prices for uncoated flat steel grew by 6-8% qoq (-5-9% yoy). Average dollar prices for rebar increased by 11% qoq (-3% yoy).
· Export slab prices (FOB Black Sea) climbed 1% qoq (-15% yoy), supported by limited supply in H1 2019.
· Flat steel prices in the US went down by 6-11% qoq (-23-30% yoy), impacted by the oversupply against the backdrop of the exemption for steel products from Canada and Mexico from the Section 232 tariffs, among other factors.
· In EU countries, flat steel dollar prices fell by 3-6% qoq (-12-20% yoy) amid weak demand and growth in supplies from Turkey, which forced a number of steel companies to announce a temporary reduction in their output.
SEGMENTAL PERFORMANCE
NLMK RUSSIA FLAT PRODUCTS
Q2 2019 performance
Steel output decreased by 10% qoq and yoy to2.95 m t due to overhauls at NLMK Lipetsk's BF and BOF operations (Appendix 9).
Sales of the Segment dropped by 10% qoq (-11% yoy), following the drop in steel output (Appendix 2).
Sales mix: the share of finished steel increased to 45% (+1 p.p. qoq; +2 p.p. yoy). Finished steel sales were down 8% qoq (-6% yoy) to 1.39 m t due to reduced export deliveries as sales were redirected to the Russian market to satisfy the seasonally high demand. HVA product sales totalled 0.8 m t. The 2% qoq and 1% yoy decrease was driven by lower exports of cold-rolled and galvanized steel (Appendix 3).
Sales of semi-finished steel went down by 12% qoq (-15% yoy) to 1.67 m t due to lower slab deliveries to the market following the shift to finished steel coupled with the decrease in total steel output. Semis deliveries to the Group companies and NBH grew to 0.93 m t (+27% qoq) with increased slab demand from the Group's European companies. Slab sales were down by 17% yoy due to reduced deliveries to NLMK USA following the introduction of safeguard measures.
Sales markets: sales in Russia grew by 13% qoq to 1.16 m t against the backdrop of the seasonal growth in demand for finished steel (Appendix 3). Export sales declined by 20% qoq and yoy to 1.89 m t due to lower semis deliveries. The share of the Segment's export sales reduced to 62% (-8 p.p. qoq; -7 p.p. yoy).
NLMK RUSSIA LONG
Q2 2019 performance
Steel output increased to 0.8 m t (+16% qoq) amid the seasonal demand growth for long products in the Russian market (Appendix 9). Year-on-year, steel output dropped by 6% due to lower demand for billets in export markets.
Sales were down by 7% qoq to 0.72 m t (Appendix 4) due to lower export sales, which was partially offset by the growth of domestic demand. Finished steel sales increased by 30% qoq (+73% yoy) to 0.64 m t. The share of finished steel totalled 89% (+12 p.p. qoq; +14 p.p. yoy). The 12% sales growth was due to a low base effect.
Sales markets: sales in Russia accounted for 76% (+22 p.p. qoq and +26 p.p. yoy).
Following the seasonal uptick in demand from the construction sector, sales in Russia were up by 27% qoq,
reaching 0.54 m t. Year-on-year, deliveries to the Russian market increased by 65% due to there being no shifts in the construction season (the 2018 World Cup effect) and an uptick in demand following the changes in the shared-equity construction regulations.
Export sales were down by 49% qoq (-44% yoy) to 0.17 m t due to lower billet sales.
Scrap: scrap sales were up by 95% qoq to 1.3 m t due to seasonally higher demand from NLMK's Russian companies and restocking after the winter months. Year-on-year, scrap sales were down by 12% due to overhauls at NLMK Lipetsk. Scrap is sold mainly to the Group's companies (98%) (Appendix 4).
MINING AND PROCESSING OF RAW MATERIALS
Q2 2019 performance
Output of iron ore decreased by 1% qoq to 4.51 m t (Appendix 12). Year-on-year, iron ore output remained almost flat.
Pellet output totalled 1.73 m t (flat qoq). The +4% yoy output growth was driven by higher equipment productivity.
Sales of iron ore decreased by 2% qoq to 4.51 m t (flat yoy), due to a decrease in iron ore concentrate deliveries to NLMK Lipetsk (Appendix 5). The Segment resumed sales to third parties against the backdrop of the temporary decrease in NLMK Lipetsk's needs. Iron ore concentrate sales to third parties in Q2 2019 totalled 0.11 m t.
NLMK USA
Q2 2019 performance
Sales dropped by 3% qoq (-8% yoy) to 0.58 m t due to lower deliveries of hot-rolled steel amid an anticipated further drop in prices (Appendix 6).
NLMK DANSTEEL
Q2 2019 performance
Sales of plates were down by 6% qoq (flat yoy) to 0.14 m t due to lower demand amid consumer overstocking (Appendix 7).
JOINT VENTURE -
NLMK Belgium Holdings (NBH)
Q2 2019 performance
NBH sales were up by 20% qoq to 0.62 m t (+7% yoy) supported by the 17% increase qoq in plate sales to 0.17 m t (-16% yoy) due to the recovery of capacity utilization rates with the end of the strike at NLMK Clabecq (Appendix 8).
Strip sales were up by 22% qoq to 0.45 m t (+19% yoy) supported by demand from industrial manufacturers.
Note: detailed data are provided in the Appendix; also available in a separate excel sheet on the Company's website.
Appendices
Appendix 1. NLMK Group operating highlights
|
Production, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Crude steel production (without NBH) |
3,940 |
4,128 |
-5% |
4,326 |
-9% |
8,068 |
8,595 |
-6% |
|
Crude steel production (with NBH) |
3,992 |
4,183 |
-5% |
4,382 |
-9% |
8,175 |
8,708 |
-6% |
|
Capacity utilization |
98% |
96% |
+2 p.p. |
99% |
-1 p.p. |
97% |
99% |
-2 p.p. |
|
Consolidated sales, m t |
|
|
|
|
|
|
|
|
|
Semi-finished steel 5 |
1,521 |
1,779 |
-15% |
1,651 |
-8% |
3,301 |
3,294 |
0% |
|
Finished steel |
2,747 |
2,835 |
-3% |
2,733 |
1% |
5,581 |
5,236 |
7% |
|
Flat |
2,109 |
2,239 |
-6% |
2,251 |
-6% |
4,348 |
4,199 |
4% |
|
Longs and metalware |
0,638 |
0,595 |
7% |
0,482 |
32% |
1,233 |
1,038 |
19% |
|
Total consolidated sales |
4,268 |
4,614 |
-7% |
4,384 |
-3% |
8,882 |
8,530 |
4% |
|
Sales to home markets of the Group 6 |
71% |
56% |
+15 p.p. |
62% |
+9 p.p. |
63% |
62% |
+1 p.p. |
|
Sales to external markets |
29% |
44% |
-15 p.p. |
38% |
-9 p.p. |
37% |
38% |
-1 p.p. |
|
For information: slab sales to foreign subsidiaries and affiliates |
0,933 |
0,735 |
27% |
1,118 |
-17% |
1,668 |
2,372 |
-30% |
|
Segment sales |
|
|
|
|
|
|
|
|
|
Russian Flat Products |
3,055 |
3,403 |
-10% |
3,433 |
-11% |
6,458 |
6,770 |
-5% |
|
Russian Long Products |
0,715 |
0,768 |
-7% |
0,639 |
12% |
1,483 |
1,409 |
5% |
|
Mining |
4,513 |
4,589 |
-2% |
4,518 |
0% |
9,102 |
9,028 |
1% |
|
NLMK USA |
0,584 |
0,601 |
-3% |
0,638 |
-8% |
1,185 |
1,191 |
-1% |
|
Dansteel |
0,137 |
0,146 |
-6% |
0,137 |
0% |
0,283 |
0,278 |
2% |
|
For information: NBH Sales |
0,618 |
0,513 |
20% |
0,578 |
7% |
1,130 |
1,218 |
-7% |
5 Including commercial pig iron, slabs and billets
6 Home markets: Russia for the Russian assets of NLMK Group, North America for NLMK USA and the EU market for NLMK Dansteel and NBH
Appendix 2. NLMK Russia Flat sales by product
|
Sales, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Pig iron |
0,156 |
0,047 |
> 100% |
0,205 |
-24% |
0,203 |
0,465 |
-56% |
|
Slabs incl. |
1,510 |
1,852 |
-18% |
1,750 |
-14% |
3,362 |
3,573 |
-6% |
|
Slab sales to foreign subsidiaries and affiliates |
0,933 |
0,735 |
27% |
1,118 |
-17% |
1,668 |
2,372 |
-30% |
|
to NLMK USA, NLMK Dansteel |
0,224 |
0,294 |
-24% |
0,458 |
-51% |
0,518 |
1,112 |
-53% |
|
to NBH |
0,709 |
0,441 |
61% |
0,660 |
8% |
1,150 |
1,259 |
-9% |
|
Hot-rolled steel |
0,588 |
0,686 |
-14% |
0,666 |
-12% |
1,274 |
1,181 |
8% |
|
Cold-rolled steel |
0,388 |
0,402 |
-4% |
0,362 |
7% |
0,790 |
0,679 |
16% |
|
Galvanized steel |
0,172 |
0,195 |
-12% |
0,198 |
-13% |
0,368 |
0,394 |
-7% |
|
Pre-painted steel |
0,100 |
0,089 |
12% |
0,101 |
-1% |
0,189 |
0,188 |
0% |
|
Dynamo steel |
0,068 |
0,061 |
12% |
0,077 |
-12% |
0,129 |
0,149 |
-14% |
|
Transformer steel |
0,074 |
0,071 |
4% |
0,073 |
1% |
0,145 |
0,141 |
3% |
|
incl. VIZ-Steel |
0,040 |
0,043 |
-7% |
0,043 |
-7% |
0,083 |
0,084 |
-1% |
|
Total products |
3,055 |
3,403 |
-10% |
3,433 |
-11% |
6,458 |
6,770 |
-5% |
|
Coke sales from Altai-Koks 5 |
0,723 |
0,872 |
-17% |
0,865 |
-16% |
1,594 |
1,763 |
-10% |
|
incl. to NLMK Lipetsk |
0,498 |
0,653 |
-24% |
0,682 |
-27% |
1,151 |
1,355 |
-15% |
Appendix 3. NLMK Russia Flat sales by region and product
|
Sales, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Russian market |
1,162 |
1,026 |
13% |
1,080 |
8% |
2,187 |
2,063 |
6% |
|
Semi-finished products |
0,262 |
0,167 |
57% |
0,159 |
65% |
0,429 |
0,363 |
18% |
|
Hot-rolled steel |
0,380 |
0,374 |
2% |
0,410 |
-7% |
0,754 |
0,713 |
6% |
|
Cold-rolled steel |
0,229 |
0,205 |
12% |
0,207 |
11% |
0,435 |
0,409 |
6% |
|
Galvanized steel |
0,165 |
0,167 |
-1% |
0,179 |
-8% |
0,331 |
0,346 |
-4% |
|
Pre-painted steel |
0,098 |
0,088 |
12% |
0,100 |
-1% |
0,186 |
0,184 |
1% |
|
Dynamo steel |
0,017 |
0,016 |
7% |
0,016 |
6% |
0,033 |
0,029 |
16% |
|
Transformer steel |
0,010 |
0,009 |
8% |
0,011 |
-9% |
0,019 |
0,020 |
-3% |
|
Export markets |
1,893 |
2,377 |
-20% |
2,352 |
-20% |
4,271 |
4,707 |
-9% |
|
Semi-finished products |
1,403 |
1,732 |
-19% |
1,797 |
-22% |
3,136 |
3,675 |
-15% |
|
Hot-rolled steel |
0,208 |
0,312 |
-33% |
0,257 |
-19% |
0,520 |
0,468 |
11% |
|
Cold-rolled steel |
0,158 |
0,197 |
-19% |
0,155 |
2% |
0,355 |
0,270 |
31% |
|
Galvanized steel |
0,008 |
0,029 |
-73% |
0,019 |
-60% |
0,036 |
0,049 |
-25% |
|
Pre-painted steel |
0,002 |
0,001 |
40% |
0,002 |
-6% |
0,003 |
0,004 |
-24% |
|
Dynamo steel |
0,051 |
0,045 |
14% |
0,061 |
-17% |
0,096 |
0,121 |
-21% |
|
Transformer steel |
0,064 |
0,062 |
3% |
0,062 |
3% |
0,126 |
0,121 |
4% |
|
Total sales |
3,055 |
3,403 |
-10% |
3,433 |
-11% |
6,458 |
6,770 |
-5% |
|
Including: |
|
|
|
|
|
|
|
|
|
Finished steel |
1,390 |
1,504 |
-8% |
1,477 |
-6% |
2,894 |
2,732 |
6% |
|
Finished steel share |
45% |
44% |
+1 п.п. |
43% |
+2 п.п. |
45% |
40% |
+4 п.п. |
|
HVA |
802 |
818 |
-2% |
811 |
-1% |
1,620 |
1,552 |
4% |
|
HVA share |
26% |
24% |
+2 п.п. |
24% |
+3 п.п. |
25% |
23% |
+2 п.п. |
Appendix 4. NLMK Russia Long sales by product
|
Sales, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Billet |
0,078 |
0,173 |
-55% |
0,157 |
-51% |
0,250 |
0,372 |
-33% |
|
Rebar |
0,504 |
0,406 |
24% |
0,331 |
52% |
0,910 |
0,718 |
27% |
|
Sections |
0,009 |
0,026 |
-66% |
0,017 |
-49% |
0,034 |
0,033 |
5% |
|
Wire rod |
0,057 |
0,094 |
-40% |
0,079 |
-28% |
0,151 |
0,169 |
-11% |
|
Metalware |
0,068 |
0,069 |
-2% |
0,056 |
22% |
0,137 |
0,118 |
17% |
|
Total steel products |
0,715 |
0,768 |
-7% |
0,639 |
12% |
1,483 |
1,409 |
5% |
|
Ferrous and non-ferrous scrap, incl. |
1,314 |
0,674 |
95% |
1,493 |
-12% |
1,989 |
2,205 |
-10% |
|
to NLMK Ural |
0,563 |
0,267 |
> 100% |
0,554 |
2% |
0,830 |
0,830 |
0% |
|
to NLMK Kaluga |
0,381 |
0,242 |
58% |
0,448 |
-15% |
0,624 |
0,711 |
-12% |
|
to NLMK Lipetsk |
0,348 |
0,150 |
> 100% |
0,477 |
-27% |
0,499 |
0,635 |
-21% |
Appendix 5. Mining Division sales
|
Sales, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Iron ore concentrate |
2,549 |
2,587 |
-1% |
2,460 |
4% |
5,136 |
4,912 |
5% |
|
incl. to NLMK Lipetsk |
2,438 |
2,587 |
-6% |
2,460 |
-1% |
5,025 |
4,912 |
2% |
|
Pellets |
1,713 |
1,751 |
-2% |
1,678 |
2% |
3,464 |
3,368 |
3% |
|
incl. to NLMK Lipetsk |
1,713 |
1,751 |
-2% |
1,678 |
2% |
3,464 |
3,368 |
3% |
|
Sinter ore |
0,250 |
0,251 |
0% |
0,380 |
-34% |
0,501 |
0,748 |
-33% |
|
incl. to NLMK Lipetsk |
0,250 |
0,251 |
0% |
0,380 |
-34% |
0,501 |
0,748 |
-33% |
Appendix 6. NLMK USA sales
|
Sales, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Hot-rolled steel |
0,313 |
0,330 |
-5% |
0,369 |
-15% |
0,643 |
0,688 |
-7% |
|
Cold-rolled steel |
0,110 |
0,117 |
-5% |
0,129 |
-14% |
0,227 |
0,252 |
-10% |
|
Galvanized steel |
0,158 |
0,153 |
4% |
0,139 |
14% |
0,311 |
0,247 |
26% |
|
Total NLMK USA 7 |
0,584 |
0,601 |
-3% |
0,638 |
-8% |
1,18 |
1,191 |
-1% |
7 NLMK USA also sells non-significant volumes of merchant slabs not included into total rolled steel sales. In 2Q 2019 slab sales totaled 2,100 t.
Appendix 7. DanSteel sales
|
Sales, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Thick plates |
0,137 |
0,146 |
-6% |
0,137 |
0% |
0,283 |
0,278 |
2% |
Appendix 8. NBH (associated companies) sales
|
Sales, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Hot-rolled steel |
0,356 |
0,283 |
26% |
0,289 |
23% |
0,639 |
0,610 |
5% |
|
Cold-rolled steel |
0,013 |
0,012 |
13% |
0,008 |
54% |
0,025 |
0,019 |
30% |
|
Coated steel |
0,079 |
0,073 |
8% |
0,081 |
-2% |
0,152 |
0,169 |
-10% |
|
Total flat steel |
0,448 |
0,367 |
22% |
0,378 |
19% |
0,816 |
0,798 |
2% |
|
Semi-finished (ingots) |
0,017 |
0,018 |
-5% |
0,018 |
-8% |
0,035 |
0,039 |
-11% |
|
Thick plates |
0,152 |
0,127 |
20% |
0,182 |
-16% |
0,280 |
0,381 |
-27% |
|
Total steel products |
0,618 |
0,513 |
20% |
0,578 |
7% |
1,13 |
1,218 |
-7% |
Appendix 9. NLMK Group steel output
|
Production, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
NLMK Lipetsk |
2,952 |
3,264 |
-10% |
3,294 |
-10% |
6,217 |
6,653 |
-7% |
|
NLMK Long Products |
0,802 |
0,693 |
16% |
0,851 |
-6% |
1,495 |
1,597 |
-6% |
|
incl. NLMK Kaluga |
0,349 |
0,276 |
26% |
0,375 |
-7% |
0,625 |
0,700 |
-11% |
|
NLMK Indiana (NLMK USA) |
0,185 |
0,171 |
8% |
0,181 |
2% |
0,357 |
0,345 |
3% |
|
NLMK Group (without NBH) |
3,940 |
4,128 |
-5% |
4,326 |
-9% |
8,068 |
8,595 |
-6% |
|
for information |
|
|
|
|
|
|
|
|
|
NBH, NLMK Europe (EAF) |
0,052 |
0,055 |
-5% |
0,056 |
-6% |
0,107 |
0,113 |
-6% |
|
NLMK Group (with NBH) |
3,992 |
4,183 |
-5% |
4,382 |
-9% |
8,175 |
8,708 |
-6% |
Appendix 10. NLMK Group steel product output
|
Production, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Merchant pig iron |
0,107 |
0,085 |
26% |
0,172 |
-38% |
0,192 |
0,337 |
-43% |
|
Merchant slabs |
1,171 |
1,389 |
-16% |
1,217 |
-4% |
2,560 |
2,353 |
9% |
|
Flat steel |
2,128 |
2,129 |
0% |
2,229 |
-5% |
4,257 |
4,391 |
-3% |
|
Merchant billets |
0,128 |
0,089 |
43% |
0,168 |
-24% |
0,217 |
0,338 |
-36% |
|
Long products |
0,585 |
0,521 |
12% |
0,576 |
2% |
1,107 |
1,074 |
3% |
|
Metalware |
0,070 |
0,071 |
-1% |
0,064 |
10% |
0,140 |
0,128 |
10% |
|
Total products |
4,188 |
4,285 |
-2% |
4,425 |
-5% |
8,473 |
8,619 |
-2% |
Appendix 11. NLMK Russia Flat steel product output
|
Production, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Merchant pig iron |
0,107 |
0,085 |
26% |
0,172 |
-38% |
0,192 |
0,337 |
-43% |
|
Merchant slabs |
1,394 |
1,683 |
-17% |
1,675 |
-17% |
3,078 |
3,465 |
-11% |
|
Hot-rolled steel |
0,606 |
0,617 |
-2% |
0,641 |
-5% |
1,223 |
1,276 |
-4% |
|
Cold-rolled steel |
0,383 |
0,394 |
-3% |
0,374 |
2% |
0,777 |
0,753 |
3% |
|
Galvanized steel |
0,188 |
0,191 |
-2% |
0,221 |
-15% |
0,379 |
0,424 |
-11% |
|
Pre-painted steel |
0,114 |
0,103 |
11% |
0,102 |
12% |
0,217 |
0,204 |
6% |
|
Dynamo steel |
0,063 |
0,065 |
-2% |
0,075 |
-16% |
0,128 |
0,150 |
-15% |
|
Transformer steel |
0,071 |
0,071 |
0% |
0,070 |
2% |
0,142 |
0,140 |
2% |
|
Total steel products |
2,926 |
3,210 |
-9% |
3,330 |
-12% |
6,136 |
6,747 |
-9% |
Appendix 12. Output of the main raw materials
|
Production, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Coke |
1,332 |
1,440 |
-7% |
1,463 |
-9% |
2,772 |
2,970 |
-7% |
|
NLMK Lipetsk |
0,605 |
0,596 |
2% |
0,609 |
-1% |
1,201 |
1,207 |
-1% |
|
Altai-Koks |
0,727 |
0,844 |
-14% |
0,854 |
-15% |
1,571 |
1,762 |
-11% |
|
Iron ore |
4,506 |
4,546 |
-1% |
4,491 |
0% |
9,051 |
8,958 |
1% |
|
Iron ore concentrate |
2,525 |
2,566 |
-2% |
2,445 |
3% |
5,090 |
4,868 |
5% |
|
Sinter ore |
0,250 |
0,250 |
0% |
0,375 |
-33% |
0,500 |
0,751 |
-33% |
|
Pellets |
1,731 |
1,730 |
0% |
1,671 |
4% |
3,461 |
3,339 |
4% |
|
Scrap |
0,673 |
0,344 |
96% |
0,681 |
-1% |
1,017 |
1,003 |
1% |
Appendix 13. NLMK Group steel product sales (without NBH)
|
Sales, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Semi-finished |
1,521 |
1,779 |
-15% |
1,651 |
-8% |
3,301 |
3,294 |
0% |
|
Pig iron |
0,156 |
0,047 |
> 100% |
0,201 |
-22% |
0,203 |
0,459 |
-56% |
|
Slabs |
1,288 |
1,559 |
-17% |
1,293 |
0% |
2,847 |
2,463 |
16% |
|
Billet |
0,078 |
0,173 |
-55% |
0,157 |
-51% |
0,250 |
0,372 |
-33% |
|
Flat steel |
2,109 |
2,239 |
-6% |
2,251 |
-6% |
4,348 |
4,199 |
4% |
|
Plate |
0,137 |
0,146 |
-6% |
0,137 |
0% |
0,283 |
0,278 |
2% |
|
Hot-rolled steel |
0,901 |
1,016 |
-11% |
1,036 |
-13% |
1,917 |
1,869 |
3% |
|
Cold-rolled steel |
0,498 |
0,509 |
-2% |
0,491 |
2% |
1,007 |
0,932 |
8% |
|
Galvanized steel |
0,331 |
0,348 |
-5% |
0,336 |
-2% |
0,679 |
0,642 |
6% |
|
Pre-painted steel |
0,100 |
0,089 |
12% |
0,101 |
-1% |
0,189 |
0,188 |
0% |
|
Transformer steel |
0,074 |
0,071 |
4% |
0,073 |
1% |
0,145 |
0,141 |
3% |
|
Dynamo steel |
0,068 |
0,061 |
12% |
0,077 |
-12% |
0,129 |
0,149 |
-14% |
|
Long products |
0,638 |
0,595 |
7% |
0,482 |
32% |
1,233 |
1,038 |
19% |
|
Long |
0,570 |
0,526 |
8% |
0,426 |
34% |
1,096 |
0,920 |
19% |
|
Metalware |
0,068 |
0,069 |
-2% |
0,056 |
22% |
0,137 |
0,118 |
17% |
|
Total steel products |
4,268 |
4,614 |
-7% |
4,384 |
-3% |
8,882 |
8,530 |
4% |
Appendix 14. NLMK Group home and export steel product sales (with NBH)
|
Sales, m t |
Q2 2019 |
Q1 2019 |
QoQ |
Q2 2018 |
YoY |
6M 2019 |
6M 2018 |
YoY |
|
Home |
2,967 |
2,674 |
11% |
2,654 |
12% |
5,641 |
5,291 |
7% |
|
Russia |
1,704 |
1,451 |
17% |
1,404 |
21% |
3,155 |
2,748 |
15% |
|
USA |
0,584 |
0,601 |
-3% |
0,638 |
-8% |
1,185 |
1,191 |
-1% |
|
EU |
0,679 |
0,622 |
9% |
0,612 |
11% |
1,301 |
1,352 |
-4% |
|
Export |
1,209 |
2,011 |
-40% |
1,644 |
26% |
3,221 |
3,193 |
1% |
|
Total steel products |
4,176 |
4,685 |
-11% |
4,299 |
-3% |
8,862 |
8,484 |
4% |
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