MMK Group Highlights by Steel Segments
Total steel segment revenue in 9M 2015 was USD 4,420 million, down 24.2% y-o-y. This was due to lower sales volumes in 2015, as well as lower average steel prices on the domestic and export markets.
The segment's EBITDA in Q3 2015 was USD 402 million, down 13.2% q-o-q, with an EBITDA margin of 28.1%. Segment EBITDA in 9M 2015 amounted to USD 1,311 million, up 10.0% y-o-y. This growth was due to the continued premium in steel prices on the domestic market, favourable commodities markets, and cost optimisation measures undertaken by Company management.
The cash cost of slab in Q3 2015 amounted to USD 196 per tonne, down USD 44 or 18.3% q-o-q. Key factors include the rouble weakening versus the US Dollar, as well as blast-furnace burden optimisation as part of efforts aimed at increasing production efficiency.