MMC Norilsk Nickel
MMC Norilsk Nickel: MMC NORILSK NICKEL REPORTS FIRST HALF 2013 UNAUDITED INTERIM CONSOLIDATED IFRS FINANCIAL RESULTS
MMC Norilsk Nickel / Key word(s): Half Year Results MMC NORILSK NICKEL REPORTS FIRST HALF 2013 UNAUDITED INTERIM CONSOLIDATED IFRS FINANCIAL RESULTS Moscow, August 29, 2013 – OJSC MMC Norilsk Nickel (‘MMC Norilsk Nickel’, the ‘Company’ or the ‘Group’), the largest nickel and palladium producer in the world, today reports unaudited financial results for the six months ended June 30, 2013. 1H 2013 HIGHLIGHTS – Robust financial results despite turbulent macro environment and weakening commodity prices. – Revenue amounted to USD 5.6 billion, down 6.1% y-o-y owing to weak metal prices and lower sales volumes of nickel and platinum. – EBITDA decreased 7.8% y-o-y to USD 2.3 billion driven by lower metals revenue, which was partially off-set by improved sales and distribution performance and a substantial decrease in SG&A. – EBITDA margin demonstrated resilience reaching 41% (vs 42% in 1H 2012) due to effective cost controls. – Net profit of USD 545 million was down 63% y-o-y owing to USD 636 million of non-cash write-offs; net profit, excluding non-cash write-offs, amounted to USD1.2 billion and was down 21%. – Despite substantial revenue contraction net cash flow from operating activities of USD 1.6 billion was practically unchanged y-o-y owing to better management of working capital. – CAPEX decreased by 21% y-o-y to USD 0.9 billion as the management adopted more stringent capital allocation discipline, with expected mandatory CAPEX savings of at least USD 300 million for the full year 2013. – Annual dividends for 2012 were paid in the amount of RUB 400.8 (approximately USD 12.9) per ordinary share underlying the Company’s commitment to shareholder returns. – The restructuring of the corporate head office was launched aiming to bring management practices in line with global industry standards and a new management team was appointed. – Strategic review on non-core businesses and selected international assets was launched. RECENT DEVELOPMENTS – On August13, 2013 the Company reduced its share capital by 8.08% through cancellation of 13,911,346 treasury shares, thus fully completing the redemption of treasury stock announced in December 2012. KEY HIGHLIGHTS
OUTLOOK Commenting on the results Chief Executive Officer of the Company Vladimir Potanin said, ‘These are the first results of the new management team and while these are the early signs, I am pleased to see that the Company delivered a strong a resilient performance against the backdrop of unfavourable market conditions. By implementing a range of optimization and fixed costs reduction measures we achieved a six-month EBITDA of USD2.3 billion – thus recording the industry-leading margin of 41%, almost at the same level as in a prior year, despite a material decline in our revenue base. Full version: http://www.nornik.ru/_upload/editor_files/file2209.pdf For further information, please, contact: ABOUT MMC NORILSK NICKEL:
End of Corporate News 29.08.2013 Dissemination of a Corporate News, transmitted by EquityStory.RS, LLC – a company of EQS Group AG. The issuer is solely responsible for the content of this announcement. EquityStory.RS, LLC’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
Language: | English | |
Company: | MMC Norilsk Nickel | |
22, Voznesensky Per. | ||
125993 Moscow | ||
Russia | ||
Internet: | www.nornik.ru | |
ISIN: | US46626D1081 | |
WKN: | 676683 | |
End of News | EquityStory.RS, LLC News-Service |
228189 29.08.2013 |