Severstal: Focus on exports as Russian steel demand remains weak
by David Fleschen
Russian steelmaking and mining company Severstal continues to try to offset "some signs of local demand softening" seen this year with steel exports to take advantage of higher prices, the company said in its earnings report on Tuesday.
"Although domestic steel demand is moderating, we expect the world steel demand to remain at good levels in 2019, based on a strong global economy and continued limits on steel production and economic incentives in China," CEO Alexander Shevelev said, accodring to the news platform S&P Global.
Full-year revenues totaled $8.58 billion, up 9.3% on 2017, owing to the generally favorable pricing environment despite it deteriorating in the last quarter.
Its Q4 EBITDA grew 3.4% on the quarter, to $794 million. Its full year EBITDA jumped 21.9% on year to $3.14 billion, driven by higher revenues. Severstal holds an upbeat 2019 outlook setting itself a goal of 10-15% increase in EBITDA.
Source: S&P Global, photo: fotolia