In 2018, NLMK Group sales grew to 17.6 million tons, by 7% YoY. Steel output grew by 2%, to 17.5 million tons. Steel capacity utilization rate was 99%.
Sales grew driven by growth of demand on key sales markets.
Sales growth was supported by a +20%YoY increase of semi-finished product sales, to 6.8 million tons. Finished product sales remained flat at 10.8 m t.
HVA sales increased by 3%, to 5 million tons.
Sales on home markets decreased insignificantly – by 1%, to 10.56 million tons, while sales growth on export markets totaled 17%. Sales on home markets continue to account for the bulk of group sales, with a 61% share in 2018.
In Q4 2018 steel output decreased by 1% QoQ, but grew by 1% YoY, to 4.4 million tons due to planned maintenance at NLMK Russia Long and NLMK USA.
Group sales grew by 5% QoQ (+6% YoY), to 4.6 million tons, driven by higher demand for slabs and pig iron on export markets.
Sales on international markets grew by 32% QoQ (+33% YoY), to 2.1 million tons, driven by the growth of semi-finished product exports from the Russian sites due to intensified demand on the sales markets. Sales on home markets dropped to 2.5 million tons (-9% QoQ and -12% YoY) due to the seasonal weakening in demand on the Russian market. The share of group sales to home markets decreased to 55% (-9% QoQ and YoY each). (NLMK/Ukrainian metal)