OREANDA-NEWS. Evraz Group S.A. (LSE: EVR) today announces its preliminary audited results for the year ended 31 December 2006 with a strong year-on-year growth in sales volumes and revenues.

2006 Highlights:


•   Revenues growth of 27,4% to US$8,292 million from US$6,508 million in 2005

•   Consolidated adjusted EBITDA up 42,7% to US$2,652 million from US$1,859 in 2005

•   Net profit growth of 50,9% to US$1,385 million from US$918 million in 2005

•   Strong cash flow generation from operating activities up by 39,8% to US$2,092 million due to increased profit margins and efficient working capital management

•   Earnings per GDR increase by 45,4% from US$2.71 to US$3.94

•   Crude steel production grew by 16% to 16,1 million tonnes

•   Total steel sales volumes climbed by 24,5% to 16 million tonnes driven by organic growth, acquisitions in Europe and inventory reductions

•   Strong leadership growing Russian long products market with favourable pricing environment through 2006

•   Successfully implemented capital investments programme of US$660 million

•   Robust level of self-coverage: 80% in iron ore and 84% in coking coal

•   Commencement of iron ore production at Izykhgol and Burluk mines in Siberia

•   Acquisitions of new iron ore development licence with 3,3 bln tonnes of resources in the Urals

•   Successful IPO of OAO Raspadskaya in November

•   Disposal of Neryungri coal mine project results in an impairment loss of US$66 million

•   Acquisition of 24,9% in Highveld Steel and Vanadium Corporation for US$207 million in July

•   Acquisition of 72,84% in Strategic Minerals Corporation (Stratcor) for US$125 million in August

•   Successful tender offer for 100% of Oregon Steel Mills (USA) for US$2,3 billion closed in January 2007