Metinvest CEO: Prospects remain very uncertain

Metinvest posted expectedly weak financial results for the first half of 2015. The company's net loss according to international financial reporting standards amounted to $ 166 million, revenue fell by 39 percent - to $ 3 billion 650 million.

The drop in revenue led to a sharp decline in pre-tax EBITDA, which fell 63 percent to $ 620 million. EBITDA margin decreased by 11 percentage points - to 17 percent, net margin got a negative value of minus 5 percent.

According to Metinvest CEO Yuriy Ryzhenkov, serious interruptions in the work of the company's enterprises continued due to the conflict in eastern Ukraine, the fall in world prices for raw materials and steel significantly reduced profitability.

“The conflict in the east and the growth of country risk have led to the fact that international capital markets have actually closed for Ukrainian companies, including Metinvest. In addition, prices on world markets continue to have a negative impact on the results of our activities, ”Ryzhenkov said.

“Prospects remain very uncertain due to the ongoing political and economic instability in Ukraine, as well as the high volatility of world prices for raw materials and steel,” summed up the CEO of Metinvest.