MOSCOW, May 30 (RIA Novosti) – TMK, Russia’s largest producer of steel pipes for the energy sector, posted an IFRS net profit of $85 million in January-March 2013, down 19 percent on the same period last year, the company said on Thursday, citing falling demand.
That figure was above a consensus forecast of analysts polled by Prime news agency who expected the company’s net financial result at $57 million.
The company’s revenues for the quarter grew by 4 percent to $1.725 billion “mainly due to the growth of LDP [large-diameter pipes] and welded line pipe sales in the Russian division.”
Adjusted EBITDA fell by 7 percent to $273 million, with the EBITDA margin down to 16 percent from 18 percent a year earlier.
Gross profit declined by 10 percent to $369 million “due to lower volumes and prices in the American division in the first quarter of 2013.”
Net debt increased by 1.9 percent to $3.727 billion as of March 31 “due to a decrease of cash and cash equivalents" at the end of the reporting period.
“The company conservatively expects full-year 2013 results to be approximately in line with the results of the full-year 2012,” TMK said in a statement.
