March 26, 2012

Russia's UralChem 2011 net profit up to US$445 million

As calculated under International Financial Reporting Standards (IFRS), the net profit of Russia's top fertiliser maker UralChem soared to US$445 million in 2011 from US$35 million in 2010, the company said in a report Friday (Mar 23).

Revenue rose 50% to US$2.08 billion in the reporting year, UralChem said.

The operating profit more than tripled to US$661 million in 2011 from about US$205 million in 2010. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) rose by to US$752 million from around US$310 million, while the EBITDA margin increased to 36% in 2011 from 22% in 2010.

Production volumes exceeded the forecast reaching five million tonnes in 2011, the company said without providing a comparison.

In 2011, the volume of sales rose 7% to 4.92 million tonnes of production due to high demand on the domestic and world mineral fertiliser markets.

UralChem's net debt amounted to US$930.8 million, while the average-weighted interest rate fell to 6.35% in 2011 from 9.07% in 2010.

UralChem recently acquired Perm Region-based Mineral Fertilisers (Minudobreniya). The company quoted its CEO Dmitry Konyayev as saying in the report the purchase of Minudobreniya would help to obtain an 18-20% share of the Russian carbamide market.