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Manage episode 156747518 series 1198916
|The Group's steel output increased 14% q-o-q to 3.6 million t, which corresponds to over 90% utilisation rate, as the new BF-7 at Novolipetsk (NLMK’s main production site in Lipetsk) gradually increased its capacity load and the second EAF at NLMK Long Products was re-launched following transformer repairs in January 2012.|
Total sales in Q1 2012 sales grew 6.4% q-o-q to 3.8 million t. Flat steel sales increased by almost 14%, and long steel sales, including metalware, grew 16.7%. NLMK continued to increase its presence in the domestic market growing its sales by 2% sequentially to 1,3 million t which corresponds to 35% of total sales for the quarter.
Slab sales to the Group’s international rolling operations in Q1 increased 57% to 0.7 million t as they replenished inventory following the destocking that occurred in the previous quarter.
Exports accounted for 65% of our sales, with the bulk going to our traditional markets, i.e. Europe, the US, the Middle East and South-East Asia.
We expect Q2 sales volumes to increase, supported by the seasonal upturn in demand. We are keeping our previous crude steel production forecast for 2012 unchanged: the output will total about 15 million t.
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