NLMK, the LSE-listed leading steel producer, today announces its consolidated US GAAP results for Q2 and 6 months of 2012.

Despite challenging market conditions NLMK delivered a set of strong operating and financial results. s Q2 sales remained largely flat at 3.8 million tonnes. Q2 revenue grew by 5% q-o-q to US$3.3 billion, driven by the better product mix and hence the slight strengthening of prices. An improved operating performance and reduced costs enabled a 38% increase in our Q2 EBITDA to US$596 million. The Q2 EBITDA margin was around 18%, 4 p.p. up q-o-q.

Outlook:

Due to weaker market conditions globally Q3 revenue could decrease 5-10%, while the sales volume will remain stable for the entire Group. At the same time, the effect of decreasing steel prices will be partially offset by the decrease in raw material prices. The EBITDA margin is expected to be in the range of 16-18%.