Today Acron (MICEX-RTS and LSE: AKRN) released its audited consolidated IFRS results for 2011.
Key Financials
• Revenue was up 40% year-on-year to RUB 65.43 billion (USD 2.23 billion), against RUB 46.74 billion in 2010.
• EBITDA* doubled year-on-year to RUB 20.76 billion (USD 0.71 billion) (2010: RUB 10.34 billion).
• EBITDA margin was 32%, against 22% in 2010.
• Net profit tripled year-on-year to RUB 20.33 billion (USD 0.69 billion), against RUB 6.28 billion in 2010.
• Net debt was RUB 33.81 billion (USD 1.05 billion), up 20% against RUB 28.26 billion at the end of 2010.
• Net debt/EBITDA ratio was 1.6 against 2.7 in 2010.
Operating Results
• Total sales were 5.8 million tonnes, up 5% year-on-year.
• Ammonia and mineral fertiliser sales increased 5% year-on-year to 4.8 million tonnes.
• Sales of organic and non-organic compounds rose 10% year-on-year to 1 million tonnes.
Alexander Popov, Chair of Acron’s Board of Directors, comments on the Group’s performance:
“Last year Acron Group posted its all-time high net profit of RUB 20.33 billion. The record was secured by a number of factors. On the operations side, we boosted production volumes and took advantage of higher global product pricing. Last year, the Group also profited from the sale of several non-production assets: a stake in Apatit and a number of Canadian exploration permits. Acron Group has entered into the active phase of its raw material investment projects, which requires a great deal of effort and financial resources. By monetising our non-core assets we can focus on our primary objectives and achieve them efficiently. The Group will start producing its own phosphates as early as 2012, which will dramatically improve the competitiveness and sustainability of our business.
In early 2012, the global mineral fertiliser market environment remains favourable and prices and demand are still high. We are prepared to take full advantage of the positive trend to augment our production potential and develop new projects. We are committed to expanding production facilities and adopting new technologies to remain a reliable supplier of high-quality products for our customers and secure long-term value for our shareholders.”
Download FInancial SatementsA detailed analysis of the Group’s 2011 performance is presented in its 2011 annual report, a draft version of which will become available at www.acron.ru on April 28, 2012.
Note: The exchange rate used for currency conversions was RUB 32.20 to USD 1 as of December 31, 2011 and RUB 30.48 for USD 1.00 as of December 31, 2010. The average exchange rate was RUB 29.39 to USD 1 in 2011 and RUB 30.38 to USD 1 in 2010.
*EBITDA is calculated as operating profit adjusted to reflect depreciation of fixed and intangible assets, forex gains or losses, and other non-monetary and non-core items.