MMC Norilsk Nickel reports 2016 audited consolidated IRFS financial results
2017-03-16 10:40:50 【Print】
BEIJING (Asian Metal) 16 Mar 17 - PJSC MMC Norilsk Nickel, a largest refined nickel and palladium producer in the world, reported IFRS financial results for the full year ended December 31, 2016.
Consolidated revenue decreased 3% y-o-y to USD 8 . 3 billion on the back of lower realized prices of the company’s metal basket (down 13% y-o-y).
EBITDA amounted to USD 3 . 9 billion, down 9% y-o-y, posting a global mining industry leading EBITDA margin of 47%.
Net profit increased 47% y-o-y to USD 2 . 5 billion mainly due to appreciation of RUB as of the end of the reported period.
CAPEX was practically unchanged y-o-y (up 2%) at USD 1 . 7 billion and was in line with the average capex level for the last 3 years . Major investments in 2016 included projects related to the shutdown of Nickel Plant, capacity expansion and modernization of Talnakh Concentrator and Nadezhda Plant as well as an active construction phase of the Bystrinsky (Chita) project.
Normalized net working capital decreased 28% y-o-y to USD 0 . 7 billion driven mainly by the saleable metal inventory release.
Free cash flow amounted to USD 1.6 billion with FCF/revenue ratio reaching the global mining industry-leading 19%.
In line with the strategy of de-risking the greenfield Bystinsky (Chita) project, the Company arranged an 8-year USD 800 million project financing facility from Sberbank CIB.
In July 2016, the Group sold 10 . 67% stake in Bystrinsky (Chita) project to a Chinese investor Highland Fund.
In December 2016, the Company entered into a transaction to buy 1 . 5 million tonnes of copper concentrate from Russia state-controlled corporation, Rostec, for approximately 67 . 5 billion rubles.
Ni 22%min; Co 0.4%max China
China's active refined nickel producers' sales volume statistics by province by month