OREANDA-NEWS. December 1, 2010. EuroChem reports IFRS financial information for 3Q 2010.

 

Q3 2010

Q3 2009

Chng

9M 2010

9M 2009

Chng 

RUR bn

USD  m

RUR bn

USD  m

RUR bn

USD  m

RUR bn

USD  m

Revenue

24.3

792

18.8

599

plus 29%

69.7

2,305

55.2

1,701

plus 26%

EBITDA

6.3

207

3.1

100

plus 102%

19.4

640

13.5

414

plus 44%

Net profit

4.8

156

3.3

104

plus 46%

11.7

388

8.9

274

plus 32%

Cash from operations

6.0

197

3.4

108

plus 78%

17.2

567

13.0

400

plus 32%

 

30 September 2010

31 December 2009

Net Debt/ LTM* EBITDA

1.59

2.21

Average RUR/USD  exchange rate for periods: Q3 2010: 30.62; Q3 2009: 31.33; 9M 2010: 30.25; 9M 2009: 32.48

* Last Twelve Months

EuroChem today reported a consolidated IFRS net profit for the third quarter of 2010 of RUR 4.8bn, up 46% from RUR 3.3bn for Q3 2009. Consolidated revenues also increased 29% to RUR 24.3bn in Q3 2010 from RUR 18.8bn in Q3 2009. Net profit for the first nine months of 2010 amounted to RUR 11.7bn, up 32% from RUR 8.9bn in 9M 2009.  

EuroChem’s gross margin in Q3 2010 was 52% on gross profit of RUR 12.6bn, compared with a 43% / RUR 8.0bn result for Q3 2009. EBITDA was RUR 6.3bn for the third quarter of 2010, increasing 102% vs. RUR 3.1bn in Q3 2009. The EBITDA margin for the period was 26%, compared to 17% for Q3 2009.

Fertilizer sales volumes in the third quarter of 2010 were flat vs. Q3 2009, with combined nitrogen and phosphate volumes at 1,898 thousand metric tonnes (KMT) (excl. iron ore and baddeleyite).  Similarly, the company’s sales of iron ore in the third quarter were virtually unchanged at 1,549 KMT in Q3 2010 compared with 1,556 KMT in Q3 2009. 

CEO Dmitry Strezhnev said: “We are observing that the current strength in soft commodity prices is encouraging farmers to invest in fertilisers and other means of maximizing output per acre, which should continue in 2011.  This, coupled with an empty supply chain, helped us achieve stronger financial results in the third quarter on virtually unchanged volumes relative to last year. This allows us to comfortably continue with our ambitious capital expenditure program, where completing phase I of our Gremyachinskoye potash project on time remains the top priority.”