21 April ‘21
MMK Group financial results for Q1 2021
MMK Group’s revenue increased by 18.0% quarter-on-quarter (q-o-q) to USD 2,185 mln, which reflects a growth in steel prices in Russia and globally. EBITDA for Q1 2021 grew to USD 726 mln, up 53.2% q-o-q, reflecting revenue growth fuelled by favourable market developments. EBITDA margin increased by 7.6 p.p. to 33.2%. Net profit was USD 477 mln, up 52.4% q-o-q as a result of higher margins. FCF for the quarter remained flat at USD 125 mln, driven by working capital build-up amid higher prices for metal products and an increase in the share of export sales with longer sales realisation period, as well as restocking ahead of the construction season.
MMK Group’s revenue increased by 27.8% year-on-year (y-o-y), driven by higher sales due to the completion of the modernisation at Hot-Rolling Mill 2500 and an upward trend in market prices for metal products. EBITDA increased by 64.3% y-o-y reflecting higher revenues. EBITDA margin was up 7.4 p.p. to 33.2%. Net profit for Q1 2021 more than tripled year-on-year reflecting the increased business margins amid the recovering global markets. FCF for the quarter increased by 8.7% year-on-year and amounted to USD 125 mln.