Mechel reduces its net loss by 4 times

Nadezhda Ivanova's picture

In 2016, the Mechel's net loss under RAS amounted to 7.873 billion rubles, which is more than four times less than in 2015, this follows from the company's accounts.

During the reporting period, the Mechel's revenues amounted to 12.6 billion rubles, which is 2.2 times more than in the previous reporting period. Also, the company's gross profit increased to 12.6 billion rubles (2.3 times compared to 2015). The profit from sales amounted to 10.9 billion rubles in 2016, which is 2.6 times more than in 2015.

It is noted that the administrative expenses grew by 17.4%. In the reporting period, they amounted to 1.66 billion rubles.

In 2016, the company's long-term liabilities increased one and a half times, amounted to 190.58 billion rubles by the end of December last year. At the same time, the short-term ones fell to 36.08 billion rubles (2.6 times).

Last year, as the payment of the debt, Mechel sold Gazprombank 49% in the Elga coal deposit development project for 34.3 billion rubles.

We also recall that in March it became known that Mechel together with Gazprombank and Russian Railways planned to create a concession for managing the infrastructure of the Elga coal deposit. For this purpose, a company was created, in which Russian Railways received 40%.

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