Evraz publishes 2020 annual report and reports full year 2020 results
25 February 2021 — EVRAZ plc (“EVRAZ” or “the Company”) (LSE: EVR) has today:
- posted its Annual Report for the year ended 31 December 2020 (“2020 Annual Report”) on its website: https://www.evraz.com/en/investors/reports-and-results/annual-reports/ and
- submitted to the UK National Storage Mechanism a copy of its 2020 Annual Report in accordance with LR 9.6.1 R.
The 2020 Annual Report will shortly be available for inspection on the National Storage Mechanism https://data.fca.org.uk/#/nsm/nationalstoragemechanism
The 2020 Annual Report and the Notice of the Company’s Annual General Meeting, which will be held on 15 June 2021 and will be posted to shareholders in
The Appendix to this announcement contains additional information which has been extracted from the 2020 Annual Report for the purposes of compliance with DTR 6.3.5 only and should be read in conjunction with this announcement. Together these constitute the material required by DTR 6.3.5 and DTR 4.2.3 to be communicated to the media in unedited full text through a Regulatory Information Service. This announcement should be read in conjunction with and is not a substitute for reading the full 2020 Annual Report. Page and note references in the text below refer to page numbers and notes in the 2020 Annual Report.
EVRAZ ANNOUNCES ITS AUDITED RESULTS FOR THE YEAR ENDED 31 DECEMBER 2020
The financial information contained in this document does not constitute statutory accounts as defined by section 435 of the Companies Act 2006. Financial information for 2019 has been extracted from the audited statutory accounts for the year ended 31 December 2019 which were prepared in accordance with IFRS as adopted by the European Union and have been delivered to the Registrar of Companies. The auditor’s report on those financial statements was unqualified with no reference to matters to which the auditor drew attention by way of emphasis and no statement under s498(2) or s498(3) of the Companies Act 2006. The financial information for the year ended 31 December 2020 will be delivered to the Registrar of Companies following the Company’s annual general meeting convened for 15 June 2021. The auditor has reported on the statutory accounts for the year ended 31 December 2020. The auditor’s report was unqualified.
FY 2020 HIGHLIGHTS
- Robust free cash flow of US$1,020 million (FY2019: US$1,456 million)
- Continued reduction in net debt: US$3,356 million (FY2019: US$3,445 million)
- Total EBITDA effect from cost-cutting and customer focus initiatives of US$426 million in 2020
- Consolidated EBITDA of US$2,212 million, down 15.0% from US$2,601 million in FY2019, EBITDA margin up to 22.7% from 21.8%
- Net profit increased to US$858 million vs. US$365 million in FY2019
- cash cost of slabs decreased to US$213/t from US$236/t in FY2019 due to lower raw material prices (iron ore, coal, ferroalloys), better raw material yield and mix, lower auxiliary, services and repairs costs
- cash costs of coal concentrate decreased to US$31/t (FY2019: US$35/t) mainly as a result of rouble depreciation
- cash costs of iron ore products decreased to US$36/t (FY2019: US$41/t) mainly by rouble depreciation, higher iron ore production volume and lower fixed costs
An interim dividend of US$437.1 million (US$0.30 per share) has been declared, reflecting the Board’s confidence in the Group’s financial position and outlook.
|Profit from operations||1,671||1,217||37.3|
|Earnings per share, basic (US$)||0.58||0.23||n/a|
|Net cash flows from operating activities||1,928||2,430||(20.7)|
|31 December 2020||31 December 2019|
1 See p.253 of EVRAZ plc Annual Report 2020 for the definition of EBITDA.
2 Including payments on deferred terms recognised in financing activities and non-cash transactions.
3 See p.254 of EVRAZ plc Annual Report 2020 for the calculation of net debt.
EVRAZ Chief Executive Officer, Alexander Frolov, commented
2020 was an unprecedented year, which changed the world and the way we do business. Intense global uncertainty caused by the outbreak of COVID-19 had a profound eﬀect on economies and pressured global markets. However, thanks to the upswing seen on the global markets in the second half of the year, the Group delivered solid operating and financial results with EBITDA reaching US$2,212 million and EBITDA margin reached 22.7% in 2020.
Moreover, EVRAZ continued to implement its efficiency improvement programme and delivered an EBITDA eﬀect of US$426 million from customer focus and cost-cutting initiatives.
In 2021, EVRAZ will continue to improve its safety culture, customer focus and operational efficiency, using digital tools where appropriate. The Group aims to achieve significant progress in its key investment projects, the foremost of which is to upgrade the rail mills in North America and Nizhny Tagil. EVRAZ will also focus on making the best possible use of the opportunities that arise as the markets begin to recover from the pandemic in 2021.”
EVRAZ plc (LSE: EVR) has released its financial results for the year ended 31 December 2020 on Thursday, 25 February 2021.
A conference call to discuss the results, hosted by Alexander Frolov, CEO, and Nikolay Ivanov, CFO, will be held on Thursday, 25 February 2021, at:
2 pm (London time)
5 pm (Moscow time)
9 am (New York time)
To join the call, please dial:
+44 (0)330 336 9127 or 0800 358 6377 (toll free) UK
Conference ID: 9126275
To avoid any technical inconvenience, it is recommended that participants dial in 10 minutes before the start of the call.
An audio webcast will be available at the following link (pre-registration needed): https://www.webcast-eqs.com/evraz20210225
The FY2020 results presentation will be also available on the Group’s website, www.evraz.com, on Thursday, 25 February 2021, at the following link:
An MP3 recording will be available on Friday, 26 February 2021, at the following link: