EVRAZ announces unaudited interim financial results for H1 2017
EVRAZ plc (“EVRAZ” or “the Group”; LSE: EVR) today announces its unaudited interim results for the six months ended 30 June 2017 (“the Period”).
H1 2017 HIGHLIGHTS
- Strong free cash flow of US$549 million (H1 2016: US$102 million).
- Continued reduction in net debt: US$4.3 billion (FY2016: US$4.8 billion).
- Cost saving of US$63 million due to ongoing productivity improvements and cost-cutting initiatives.
- Consolidated EBITDA of $1,152 million, up 99.7% from $577 million in H1 2016, driving the EBITDA margin from 16.3% to 22.6% due to higher coal and steel products prices, accompanied by the effects of cost-cutting initiatives.
- Net profit of US$86 million vs. US$7 million in H1 2016.
- Cash-cost of steel and raw materials in Russia increased mostly as a result of rouble appreciation:
- Cash cost of slabs increased to US$254/t from US$183/t in FY2016;
- Cash cost of washed coking coal increased to US$42/t from US$30/t in FY2016;
- Cash cost of iron ore products (58% Fe content) increased to US$32/t from US$26 in FY2016.
- An interim dividend of US$429.6 million (US$0.30 per share) has been declared, reflecting the Board’s confidence in the Group’s financial position and outlook.