PJSC "ArcelorMittal Kryvyi Rih", the largest mining-metallurgical enterprises of Ukraine, reports the results of its operations for the year 2019.
Key financial results
Net income from sales of products 62.4 billion UAH (compared to 68,0 billion UAH in 2018).
Net loss – 2.3 billion UAH (compared to 9.5 billion UAH of net profit in 2018).Despite the fact that 2019 has brought the company losses "ArcelorMittal Kryvyi Rih" has not stopped the planned program of modernization and invested in the development of production 415,4 million dollars. Of them, operating expenses amounted to 116 million. a major – 299,4 million dollars.
the Priority areas for investments are: the upgrading of production facilities, environmental protection activities, increasing the level of production safety, the implementation of large-scale investment program of the company.
Among the major investment projects – modernisation of the light section mill No. 250-4 (over $ 60 million.), the construction of two new machines continuous casting (more than us $ 160 million), reconstruction of the sintering plant No. 2 (170 million dollars). in Addition, in 2019, the company continued to upgrade equipment in the mining Department, capital and current repairs of equipment, and funded measures for reducing impact on the environment.
Key operating results
the Level of production of all major types of steel products was affected by the crisis and lower demand in the global steel markets.
|product||2019 (million tons)||2018 (million tons)||2019 compared with 2018, %|
|coke 6% moisture.||2,8||2,7||103|
|Cast iron||5,3||4,6||USD 114.9|
Commenting on the results of the year, Mauro Longobardo, CEO of "ArcelorMittal Kryviy Rih", said:
In the past two years, enterprises of mining-metallurgical complex of Ukraine sharply felt the crisis, similar to those currently experiencing business around the world in connection with restrictions and closures in a pandemic coronavirus. Last year, the world trade flow of steel changed significantly due to the policy of protectionism, the protection of domestic industry and preventing the import in many countries. Ukrainian exporters have to exert more effort to sell their products, due to the significant fall in prices and a General decline in steel consumption in world markets. Along with increasing costs that negatively affected the financial health of the steel companies worldwide, including the Corporation ArcelorMittal. But, despite the unfavourable situation in the markets last year, "ArcelorMittal Krivoy Rog" has demonstrated a margin of safety and was able to meet its obligations to employees, customers, suppliers and contractors. Faced with a new unprecedented challenge for the economy in 2020, we coordinate the efforts of our professional team in the fight against the spread of COVID-19. We continue to monitor closely the rapidly changing situation and believe that it will be possible to maintain the level of production and to continue the implementation of strategic projects in the enterprise.