Q1 2012 NLMK Group Trading update
NLMK, the LSE-listed leading Russian steel producer, today announces the following regular trading update for Q1 2012.
NLMK, the LSE-listed leading Russian steel producer, today announces the following regular trading update for
The Group's steel output increased 14% q-o-q to 3.6 million t, which corresponds to over 90% utilisation rate, as the new BF-7 at Novolipetsk (NLMK’s main production site in Lipetsk) gradually increased its capacity load and the second EAF at NLMK Long Products was re-launched following transformer repairs in January 2012.
Consolidated sales grew 6.4% q-o-q to 3.8 million t. Flat steel sales increased by 13.7%, and long steel sales, including metalware, grew 16.7%. 35% of the Q1 total, or 1,307 million t, were sold domestically (+2% q-o-q).
NLMK International’s sales volumes totaled 1.1 million t, including 0.69 million t sold by NLMK Europe and 0.43 million t sold by NLMK USA.
We expect Q2 sales volumes to increase, supported by the seasonal upturn in demand. We are keeping our previous crude steel production forecast for 2012 unchanged: the output will total about 15 million t.