|
Q2 2019 GROUP HIGHLIGHTS
Hot metal output declined q/q in Q2 2019 to 2.30 mln tonnes (Q1 2019:
2.36 mln tonnes) due to short-term maintenance works at BF#1, BF#4 and
BF#5. Crude steel production remained almost flat at 3.06 mln tonnes (Q1
2019: 3.04 mln tonnes) mainly reflecting EAF steel output growth.
Consolidated steel product sales remained unchanged q/q at 2.84 mln
tonnes in Q2 2019 (Q1 2019: 2.83 mln tonnes). The share of domestic
sales rose to 70% due to the increased attractiveness of domestic sales
(Q1 2019: 65%).
The share of high value-added (HVA) products within the sales portfolio
increased 2 ppts to 46% (Q1 2019: 44%), reflecting a decline in sales of
semi-finished, hot rolled coil products and higher sales of galvanised,
colour-coated and large diameter pipes (LDPs).
Coking coal concentrate sales volumes from Vorkutaugol declined 7% due
to planned short-term modernisation works at coal beneficiation
facilities in Q2 2019. Meanwhile run-of-mine (ROM) coal production at
Vorkutaugol in Q2 2019 increased 13% q/q.
Iron ore pellet sales increased 2% to 2.90 mln tonnes (Q1 2019: 2.83 mln
tonnes) due to seasonal factors despite a q/q decline in production.
Iron ore concentrate sales volumes increased 10% to 1.43 mln tonnes (Q1
2019: 1.30 mln tonnes) following production growth.
H1 2019 GROUP HIGHLIGHTS
Hot metal output increased 1% y/y in H1 2019 to 4.67 mln tonnes (H1
2018: 4.61 mln tonnes) driven by the improved efficiency of maintenance
works and the higher quality of raw materials. Crude steel production
increased to 6.10 mln tonnes (H1 2018: 6.03 mln tonnes) mainly
reflecting EAF steel output growth and higher productivity of
aggregates.
Coking coal concentrate sales volumes from Vorkutaugol increased 44% y/y
driven by coal production growth. Iron ore concentrate sales volumes
increased 3% y/y to 2.73 mln tonnes (H1 2018: 2.66 mln tonnes) mainly
reflecting ramp-up of the Yakovlevskiy mine.
The share of HVA products remained high in H1 2019 at 45% which
primarily reflects higher sales of galvanised and colour-coated sales
following the launch of new product lines, which reached their full
utilisation rates in Q1 2019, as well as higher sales of hot rolled
thick plate y/y.
SUMMARY OF KEY PRODUCTION, SALES VOLUMES
|
Production, thousands of tonnes |
Q2 2019 |
Q1 2019 |
Change, % |
H1 2019 |
H1 2018 |
Change, % |
|
Crude Steel (Russian Steel) |
3,057 |
3,044 |
0% |
6,101 |
6,034 |
1% |
|
Hot metal (Russian Steel) |
2,304 |
2,363 |
-2% |
4,667 |
4,606 |
1% |
|
Sales volumes, thousands of tonnes |
Q2 2019 |
Q1 2019 |
Change, % |
H1 2019 |
H1 2018 |
Change, % |
|
Coking coal concentrate |
958 |
1,031 |
-7% |
1,989 |
1,378 |
44% |
|
Iron ore pellets |
2,899 |
2,832 |
2% |
5,731 |
5,500 |
4% |
|
Iron ore concentrate |
1,428 |
1,301 |
10% |
2,729 |
2,656 |
3% |
|
Total steel products (Consolidated) |
2,837 |
2,832 |
0% |
5,669 |
5,708 |
-1% |
|
Total steel products (Russian Steel) |
2,848 |
2,843 |
0% |
5,691 |
5,731 |
-1% |
SEVERSTAL’S CONSOLIDATED SALES (NET OF INTERCOMPANY SALES)
|
Sales volumes, thousands of tonnes |
Q2 2019 |
Q1 2019 |
Change, % |
H1 2019 |
H1 2018 |
Change, % |
|
Coal: |
388 |
532 |
-27% |
920 |
746 |
23% |
|
Coking coal concentrate |
108 |
157 |
-31% |
265 |
81 |
n/a |
|
Steam coal |
280 |
375 |
-25% |
655 |
665 |
-2% |
|
Iron ore: |
1,686 |
1,656 |
2% |
3,342 |
3,606 |
-7% |
|
Iron ore pellets |
1,488 |
1,302 |
14% |
2,790 |
3,242 |
-14% |
|
Iron ore concentrate |
198 |
354 |
-44% |
552 |
364 |
52% |
|
Semi-finished products |
69 |
121 |
-43% |
190 |
441 |
-57% |
|
Rolled products: |
2,313 |
2,311 |
0% |
4,624 |
4,385 |
5% |
|
Hot-rolled coil |
1,040 |
1,102 |
-6% |
2,142 |
1,932 |
11% |
|
Hot-rolled plate |
225 |
233 |
-3% |
458 |
424 |
8% |
|
Cold-rolled coil |
242 |
275 |
-12% |
517 |
710 |
-27% |
|
Galvanised and metallic coated coil |
254 |
237 |
7% |
491 |
416 |
18% |
|
Colour coated coil |
141 |
102 |
38% |
243 |
172 |
41% |
|
Long products |
411 |
362 |
14% |
773 |
731 |
6% |
|
Downstream products: |
455 |
400 |
14% |
855 |
882 |
-3% |
|
Metalware products |
140 |
126 |
11% |
266 |
274 |
-3% |
|
Large diameter pipes |
106 |
97 |
9% |
203 |
205 |
-1% |
|
Other tubes, pipes, formed shapes |
209 |
177 |
18% |
386 |
403 |
-4% |
SEVERSTAL RUSSIAN STEEL (‘RSD’)
|
Sales volumes, thousands of tonnes |
Q2 2019 |
Q1 2019 |
Change, % |
H1 2019 |
H1 2018 |
Change, % |
|
Total steel products |
2,848 |
2,843 |
0% |
5,691 |
5,731 |
-1% |
|
Semi-finished products |
69 |
121 |
-43% |
190 |
441 |
-57% |
|
Rolled products |
2,322 |
2,322 |
0% |
4,644 |
4,408 |
5% |
|
Hot-rolled coil |
1,040 |
1,102 |
-6% |
2,142 |
1,932 |
11% |
|
Hot-rolled plate |
225 |
233 |
-3% |
458 |
424 |
8% |
|
Cold-rolled coil |
242 |
275 |
-12% |
517 |
710 |
-27% |
|
Galvanised and metallic coated coil |
254 |
237 |
7% |
491 |
416 |
18% |
|
Colour coated coil |
141 |
102 |
38% |
243 |
172 |
41% |
|
Long products |
420 |
373 |
13% |
793 |
754 |
5% |
|
Downstream products |
457 |
400 |
14% |
857 |
882 |
-3% |
|
Metalware products |
142 |
126 |
13% |
268 |
274 |
-2% |
|
Large diameter pipes |
106 |
97 |
9% |
203 |
205 |
-1% |
|
Other tubes, pipes, formed shapes |
209 |
177 |
18% |
386 |
403 |
-4% |
|
Sales price, $/tonne |
Q2 2019 |
Q1 2019 |
Change, % |
H1 2019 |
H1 2018 |
Change, % |
|
Semi-finished products |
450 |
423 |
6% |
433 |
462 |
-6% |
|
Hot-rolled coil |
514 |
494 |
4% |
504 |
571 |
-12% |
|
Hot-rolled plate |
659 |
635 |
4% |
647 |
734 |
-12% |
|
Cold-rolled coil |
629 |
592 |
6% |
609 |
632 |
-4% |
|
Galvanised and metallic coated coil |
729 |
709 |
3% |
720 |
759 |
-5% |
|
Colour coated coil |
918 |
849 |
8% |
889 |
929 |
-4% |
|
Long products |
484 |
449 |
8% |
468 |
499 |
-6% |
|
Metalware products |
981 |
948 |
3% |
965 |
995 |
-3% |
|
Large diameter pipes |
1,033 |
1,008 |
2% |
1,021 |
1,185 |
-14% |
|
Other tubes, pipes, formed shapes |
585 |
568 |
3% |
577 |
616 |
-6% |
Source from Severstal |
