Russia: NLMK steel sales down in 2019

The situation on steel product markets in 2019 was rather challenging. H2 2019 saw prices fall below the cycle average. “The dive was so deep, we estimate that 80% of global HRC production was loss-making. The margins in the sector were further pressured by increasing prices for raw materials”, NLMK Group CFO Shamil Kurmashov commented.…

Russia: NLMK recommends dividends for Q4 2019

At a meeting held on February 12, NLMK Group’s Board of Directors recommended the company’s shareholders to approve Q4 2019 dividend of 5.16 rubles per share. Taking into account dividends accrued in Q1-Q3 2019, 2019 dividends will total 19.4 rubles per share, which is approximately 120% of NLMK Group’s free cash flow for the relevant…

Russia: NLMK automates production-planning system

NLMK Lipetsk, the flagship site of NLMK Group, has embarked on piloting an automated production-scheduling system. The system is integrated into business processes at all stages of production and sales planning. The key goals of the project are to optimize the production load and to grow output, and to improve the quality of customer service.…

Russia: NLMK raises sustainability-linked loan

NLMK Group has amended the terms for its EUR 250-million revolving credit facility. The financing costs of the facility will now be linked to the company’s sustainability performance that will be assessed by Sustainalytics, a provider of environmental, social and corporate governance research and ratings. The ESG rating change will result in the adjustment of…

Russia: NLMK Group trading update for 2019

NLMK Group has published its Q4 2019 and 2019 operating results. In 2019, steel output decreased by 10% YoY, to 15.7 million tons, due to major repairs at NLMK Lipetsk blast furnace and steelmaking operations. Sales volumes decreased to 17.1 million tons, or by 3%, following the decrease in output. Sales to “home” markets grew…