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Investor Presentaiton

FY2020 KEY FIGURES & HIGHLIGHTS KEY HIGHLIGHTS REVENUE RUB 138 bn -28.2% Revenue was down due to decline in shipments as a result of economic slowdown on the back of COVID-19 pandemic Adjusted EBITDA (1) RUB 28.5 bn -10% EBITDA was supported by stable volumes of shipments in industrial pipe segment as well as the management's efforts aimed at cost optimization EBITDA margin 20.7% +4 p.p. Higher EBITDA margin as a result of increased share of HVA products in product portfolio, reduction of costs due to vertical integration and implementation of operating efficiency program CHELPIPE'S KEY PRODUCTS AND SERVICES Total pipe segment in adjusted EBITDA split: ~81% Seamless 50% Industrial pipes Oilfield Services 11% Approximate contribution to adj. EBITDA(2) 8% CHEL PIPE GROUP 28% Seamless O&G pipes Large diameter pipes 3% (LDP) and other welded pipes Trunk pipeline Systems & scrap KEY FINANCIALS RUB bn 2018 2019 2020 Revenue 178.8 192.3 138.0 Adjusted EBITDA 28.2 31.8 28.5 Margin 15.8% 16.6% 20.7% Net Debt 68.4 67.1 73.8(3) Net Debt / Adjusted EBITDA 2.4x 2.1x 2.6x Source: Company data, IFRS Financial Statements. The segmentation is made for business purposes only, IFRS reporting is based on 4 segments. (1) Adjusted EBITDA is determined as profit/loss for the period adjusted by finance income and costs, income tax, depreciation and amortization, foreign exchange gain/loss, change in fair value of derivatives, gain/loss on disposal of subsidiaries, gain/loss on disposal of property plant and equipment and intangible assets, impairment of loans receivable, interest receivable, property plant and equipment and intangible assets, advances for capital construction and intangible assets, impairment of goodwill, social and charity expenses not related to operating activities. (2) The Company estimates for contribution of various product groups to Company's adjusted EBITDA over the last 12 months. (3) The amount of cash & cash equivalents used to calculate Net Debt includes short term debt granted in December 2020 and fully repaid in February 2021.
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