Severstal PAO said on Monday that its net profit and revenue for the third quarter of 2021 increased significantly due to higher sales and prices.
The Russian steelmaker posted a net profit of $1.24 billion in the quarter to September 30, compared to $167 million a year earlier. Net profit increased by 9% quarter-on-quarter.
Severstal said quarterly revenue increased to $3.21 billion, up from $1.88 billion a year earlier. Revenue was up 9% from the prior quarter for the same period, driven by higher sales volumes and higher weighted average steel prices. Sales were driven by export markets, mainly from North America and the Middle East.
The company announced that its earnings before interest, taxes, depreciation and amortization were 54%.
Severstal said that it saw the first signs of normalization in the market in the third quarter, with the decline in iron ore prices and the decline in spot steel prices in line with the expectations. The introduction of export duties in Russia also caused domestic hot rolled coil prices to fall below export parity.
The Board declared a third quarter dividend of 85.93 Russian rubles (121 US cents) per share.
Shares in Moscow were RUB 20.40, or RUB 1588.0, up 1.3% at 0728 GMT.
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