26 Oct 2011 07:00
Severstal reports Q3 and 9 months 2011 operational results
Moscow, Russia - October 26, 2011 - OAO Severstal (LSE: SVST), one of the world's leading vertically integrated steel and mining companies, today announces its operational results for Q3 and 9 months 2011. As of October 2011, Severstal starts reporting average prices instead of volume weighted average prices. The data for the previous periods has been restated.
PRODUCTION OF HOT METAL AND CRUDE STEEL
Total output* | Q3 2011 | Q2 2011 | Change, % | 9M 2011 | 9M 2010 | Change, % |
Hot metal: total output | 2 629 011 | 2 661 465 | -1% | 7 925 522 | 7 734 020 | 2% |
Russian Steel | 2 182 354 | 2 214 989 | -1% | 6 601 659 | 6 418 509 | 3% |
North America | 446 657 | 446 476 | 0% | 1 323 863 | 1 315 511 | 1% |
Crude steel: total output | 4 010 369 | 3 869 344 | 4% | 11 531 717 | 10 882 904 | 6% |
Russian Steel | 2 881 165 | 2 947 792 | -2% | 8 566 142 | 8 172 365 | 5% |
North America | 1 129 204 | 921 552 | 23% | 2 965 575 | 2 710 539 | 9% |
CONSOLIDATED SALES (NET OF INTERCOMPANY SALES)
Sales volume* | Q3 2011 | Q2 2011 | Change, % | 9M 2011 | 9M 2010 | Change, % |
Coal: | 1 708 834 | 1 746 981 | -2% | 5 227 251 | 5 652 988 | -8% |
Coking coal concentrate | 1 023 311 | 869 664 | 18% | 2 998 885 | 2 370 723 | 26% |
Raw coking coal | 82 226 | 119 137 | -31% | 201 363 | 293 007 | -31% |
Steam coal | 603 297 | 758 180 | -20% | 2 027 002 | 2 989 258 | -32% |
Iron ore | 1 832 063 | 1 330 283 | 38% | 4 060 070 | 2 320 275 | 75% |
Iron ore pellets | 1 731 440 | 1 127 822 | 54% | 3 756 986 | 2 320 275 | 62% |
Iron ore concentrate | 100 623 | 202 461 | -50% | 303 084 | 0 | n.a. |
Gold (oz tr.) | 149 376** | 197 936 | -25% | 521 242 | 408 406 | 28% |
Semi-finished products | 341 827 | 376 851 | -9% | 979 989 | 705 493 | 39% |
Rolled products: | 3 295 581 | 2 724 966 | 21% | 8 771 503 | 8 668 349 | 1% |
Hot-rolled strip and plate | 1 928 796 | 1 522 427 | 27% | 5 006 042 | 4 829 030 | 4% |
Cold-rolled sheet | 488 562 | 446 284 | 9% | 1 438 704 | 1 728 682 | -17% |
Galvanised and metallic coated sheet | 542 924 | 492 420 | 10% | 1 518 361 | 1 342 546 | 13% |
Color coated sheet | 73 535 | 67 244 | 9% | 186 506 | 179 609 | 4% |
Long products | 261 763 | 196 590 | 33% | 621 889 | 588 482 | 6% |
Downstream products: | 500 359 | 476 550 | 5% | 1 442 139 | 1 271 146 | 13% |
Metalware products | 191 683 | 205 227 | -7% | 585 026 | 576 077 | 2% |
Large diameter pipes | 141 579 | 129 039 | 10% | 409 002 | 335 249 | 22% |
Other tubes, pipes, formed shapes | 167 097 | 142 284 | 17% | 448 111 | 359 820 | 25% |
* - metric tonnes unless otherwise stated
** - production for Q3 was 192 103 oz tr.
SEGMENT BREAKDOWN
Severstal Resources*
Sales volume** | Q3 2011 | Q2 2011 | Change, % | 9M 2011 | 9M 2010 | Change, % |
Coal: | 2 667 160 | 2 608 460 | 2% | 7 943 299 | 8 604 927 | -8% |
Coking coal concentrate, including | 1 981 637 | 1 731 143 | 14% | 5 714 933 | 5 322 662 | 7% |
Vorkutaugol | 1 205 909 | 1 198 230 | 1% | 3 832 138 | 3 960 084 | -3% |
PBS Coals | 775 728 | 532 913 | 46% | 1 882 795 | 1 362 578 | 38% |
Raw coking coal, Vorkutaugol | 82 226 | 119 137 | -31% | 201 363 | 293 007 | -31% |
Steam coal, including | 603 297 | 758 180 | -20% | 2 027 002 | 2 989 258 | -32% |
Vorkutaugol | 463 206 | 543 531 | -15% | 1 378 853 | 2 000 335 | -31% |
PBS Coals | 140 091 | 214 650 | -35% | 648 149 | 988 923 | -34% |
Iron ore: | 4 120 504 | 3 736 506 | 10% | 10 981 966 | 10 208 519 | 8% |
Iron ore pellets | 2 865 831 | 2 425 698 | 18% | 7 434 134 | 7 175 579 | 4% |
Iron ore concentrate | 1 254 673 | 1 310 808 | -4% | 3 547 832 | 3 032 940 | 17% |
Gold (oz tr.) | 149 376 | 197 936 | -25% | 521 242 | 408 406 | 28% |
Severstal Russian Steel*
Sales volume** | Q3 2011 | Q2 2011 | Change, % | 9M 2011 | 9M 2010 | Change, % |
Semi-finished products | 341 570 | 376 601 | -9% | 979 413 | 809 211 | 21% |
Rolled products: | 2 220 378 | 1 901 878 | 17% | 5 996 851 | 5 747 000 | 4% |
Hot-rolled strip and plate | 1 260 698 | 1 142 124 | 10% | 3 539 086 | 3 432 418 | 3% |
Cold-rolled sheet | 366 928 | 326 070 | 13% | 1 050 621 | 1 146 036 | -8% |
Galvanised and metallic coated sheet | 254 183 | 169 002 | 50% | 587 966 | 392 617 | 50% |
Color coated sheet | 73 535 | 67 244 | 9% | 186 506 | 179 609 | 4% |
Long products | 265 033 | 197 438 | 34% | 632 670 | 596 320 | 6% |
Downstream products: | 500 954 | 477 132 | 5% | 1 443 925 | 1 273 373 | 13% |
Metalware products | 192 278 | 205 809 | -7% | 586 812 | 577 828 | 2% |
Large diameter pipes | 141 579 | 129 039 | 10% | 409 002 | 335 249 | 22% |
Other tubes, pipes, formed shapes | 167 097 | 142 284 | 17% | 448 111 | 360 296 | 24% |
Severstal North America*
Sales volume** | Q3 2011 | Q2 2011 | Change, % | 9M 2011 | 9M 2010*** | Change, % |
Rolled products: | 1 078 529 | 824 062 | 31% | 2 785 615 | 2 930 074 | -5% |
Hot-rolled strip and plate | 668 154 | 380 429 | 76% | 1 467 138 | 1 397 499 | 5% |
Cold-rolled sheet | 121 634 | 120 215 | 1% | 388 082 | 582 646 | -33% |
Galvanised and metallic coated sheet | 288 742 | 323 419 | -11% | 930 395 | 949 929 | -2% |
* - including intercompany sales, ** - metric tonnes unless otherwise stated, *** - including NSG sales volumes
AVERAGE SELLING PRICES
Consolidated sales
Sales prices (EXW), USD/tonne | Q3 2011 | Q2 2011 | Change, % | 9M 2011 | 9M 2010 | Change, % |
Coal: | ||||||
Coking coal concentrate, including | 190 | 191 | -1% | 173 | 140 | 23% |
Vorkutaugol* | 210 | 216 | -3% | 202 | 139 | 45% |
PBS Coals | 182 | 174 | 5% | 166 | 122 | 36% |
Raw coking coal, Vorkutaugol | 146 | 146 | 0% | 146 | 56 | 160% |
Steam coal | 43 | 47 | -8% | 47 | 42 | 11% |
Vorkutaugol | 37 | 40 | -7% | 38 | 32 | 19% |
PBS Coals | 64 | 65 | -2% | 65 | 59 | 10% |
Iron ore: | ||||||
Iron ore, pellets | 133 | 139 | -5% | 132 | 104 | 27% |
Iron ore, concentrate | 101 | 100 | 1% | 100 | - | n.a. |
Gold (USD/oz tr.) | 1 697 | 1 513 | 12% | 1 529 | 1 181 | 29% |
Semi-finished products | 612 | 653 | -6% | 605 | 489 | 24% |
Rolled products: | ||||||
Hot-rolled strip and plate | 731 | 764 | -4% | 728 | 614 | 19% |
Cold-rolled sheet | 879 | 923 | -5% | 869 | 700 | 24% |
Galvanised and metallic coated sheet | 1 048 | 1 035 | 1% | 1 010 | 886 | 14% |
Color coated sheet | 1 345 | 1 297 | 4% | 1 284 | 1 210 | 6% |
Long products | 757 | 753 | 1% | 749 | 606 | 24% |
Downstream products: | ||||||
Metalware products | 1 301 | 1 315 | -1% | 1 284 | 1 051 | 22% |
Large diameter pipes | 2 048 | 2 069 | -1% | 2 055 | 2 004 | 3% |
Other tubes and pipes, formed shapes | 883 | 937 | -6% | 889 | 694 | 28% |
Severstal Resources
Sales prices (EXW), USD/tonne | Q3 2011 | Q2 2011 | Change, % | 9M 2011 | 9M 2010 | Change, % |
Coal: | ||||||
Coking coal concentrate | 199 | 203 | -2% | 190 | 135 | 41% |
Vorkutaugol | 210 | 216 | -3% | 202 | 139 | 45% |
PBS Coals | 182 | 174 | 5% | 166 | 122 | 36% |
Raw coking coal, Vorkutaugol | 146 | 146 | 0% | 146 | 56 | 160% |
Steam coal | 43 | 47 | -8% | 47 | 41 | 14% |
Vorkutaugol | 37 | 40 | -7% | 38 | 32 | 19% |
PBS Coals | 64 | 65 | -2% | 65 | 59 | 10% |
Iron ore: | ||||||
Iron ore pellets | 135 | 148 | -9% | 135 | 94 | 43% |
Iron ore concentrate | 97 | 113 | -14% | 99 | 65 | 52% |
Gold (USD/oz tr.) | 1 697 | 1 513 | 12% | 1 529 | 1 181 | 29% |
* -for Vorkutaugol non-consolidated selling prices
Severstal Russian Steel
Sales prices (EXW), USD/tonne | Q3 2011 | Q2 2011 | Change, % | 9M 2011 | 9M 2010 | Change, % |
Semi-finished products | 612 | 653 | -6% | 605 | 477 | 27% |
Rolled products: | ||||||
Hot-rolled strip and plate | 749 | 780 | -4% | 742 | 588 | 26% |
Cold-rolled sheet | 872 | 918 | -5% | 862 | 658 | 31% |
Galvanised and metallic coated sheet | 1 073 | 1 053 | 2% | 1 025 | 853 | 20% |
Color coated sheet | 1 345 | 1 297 | 4% | 1 284 | 1 210 | 6% |
Long products | 757 | 753 | 1% | 750 | 606 | 24% |
Downstream products: | ||||||
Metalware products | 1 301 | 1 316 | -1% | 1 284 | 1 053 | 22% |
Large diameter pipes | 2 048 | 2 069 | -1% | 2 055 | 2 004 | 3% |
Other tubes and pipes, formed shapes | 883 | 937 | -6% | 889 | 694 | 28% |
Severstal North America
Sales prices (EXW), USD/tonne | Q3 2011 | Q2 2011 | Change, % | 9M 2011 | 9M 2010* | Change, % |
Rolled products: | 857 | 939 | -9% | 877 | 771 | 14% |
* - including NSG sales prices
Notes: 1) Semi-finished products include hot metal, pig iron, slabs, billets, ingots, steel casting and forgings; 2) Metalware sales volumes and metalware average selling prices include Severstal Metiz, Cherepovets Steel Mill, Severstallat and Severstal Invest data
***
Investor Relations
Vladimir Zaluzhsky
T: +7 (495) 926-77-66 ext. 6375
vladimir.zaluzhsky@severstal.com
Public Relations
Elena Kovaleva
T: +7 (495) 926-77-66 ext. 6447
elena.kovaleva@severstal.com
***
ОАО Severstal is one of the world's leading vertically integrated steel and steel related mining companies, with assets in Russia and the USA, in Ukraine, Latvia, Poland, Italy, Liberia and Brazil. Severstal's gold business, Nordgold was established in 2007 and comprises mines and exploration projects in Russia, Kazakhstan, Burkina Faso and Guinea. Severstal is listed on RTS and MICEX and the company's GDRs are traded on the LSE. Severstal reported revenue of $13,573 million and EBITDA of $3,263 million in 2010. Severstal's crude steel production in 2010 reached 14.7 million tonnes.