28th Feb 2019 08:09
LONDON (Alliance News) - Russian steelmaker Evraz PLC on Thursday said "robust" market conditions helped its annual earnings beat market consensus.
Earnings before interest, taxes, depreciation, and amortisation for 2018 were USD3.78 billion, 44% higher year-on-year and ahead of company-compiled market consensus of USD3.63 billion.
This Ebitda figure, Evraz said, is its highest in over a decade.
Evraz's 2018 revenue was USD12.84 billion, 19% higher on the prior year, while its pretax profit increased to USD3.20 billion from USD1.16 billion.
Evraz is paying a 40 cents per share dividend, on top of the 40 cents interim dividend already paid, having returned 60 cents in 2017.
Cash flows from operating activities on a net basis increased 35% to USD2.63 billion, while Evraz's capital expenditure reduced to 13% to USD527 million. Net debt fell 10% to USD3.57 billion at the end of 2018.
Evraz reported 2018 production in late January, showing a 7.3% fall in steel output due to the sale of a steel mill in Ukraine.
Iron ore production fell 2.6% in 2018 to 13.5 million tonnes, but coking coal mined rose 3.8% to 24.2 million tonnes.
"Evraz believes its low net debt and superior cost base will help to withstand any market downturns, thereby helping the business to develop sustainably," said Chief Executive Alexander Frolov.
Shares were 0.7% higher in early trade Thursday at 560 pence each.
Related Shares:
Evraz