STEEL SEGMENT RUSSIA
thousand tonnes Q4 2020 Q3 2020 % 12M 2020 12M 2019 %
Crude steel production 3,312 2,882 14.9 11,574 12,463 - 7.1
Pig iron production 2,521 2,379 6.0 9,344 10,013 - 6.7
Finished products sales, 2,933 2,617 12.1 10,268 11,001 - 6.7
including:
Semi-finished products 0 0 - 20 0 -
Long products 297 349 - 14.7 1,275 1,352 - 5.7
Flat hot-rolled products 1,505 1,112 35.4 4,542 4,876 - 6.8
Premium products, including: 1,131 1,156 - 2.2 4,431 4,773 - 7.2
Thick plate (Mill 5000) 202 195 3.2 841 1,036 - 18.8
Flat cold-rolled products 226 237 - 4.5 899 1,003 - 10.4
Downstream products, including: 703 725 - 3.0 2,692 2,735 - 1.6
Tinplate 38 44 - 15.2 168 141 19.7
Galvanised steel 298 321 - 7.3 1,195 1,257 - 4.9
Polymer-coated steel 150 159 - 5.9 536 522 2.7
Band 42 29 42.6 130 120 9.0
Formed section 36 20 77.8 122 167 - 26.7
Pipe 24 28 - 14.4 83 57 47.1
Metalware 111 109 1.9 418 416 0.4
Other metal products 6 14 - 56.8 38 56 - 31.3
Share of premium products 38.5% 44.2% 43.2% 43.4%
+ 12.1% Q-o-Q
sales of
finished
products
- 14.7% Q-o-Q
sales of long
products
The increase in the sales volume of finished products in Q4 2020 by 12.1% q-o-q to 2,933 thousand tonnes
was due to the production ramp-up of Hot-Rolling Mill 2500 after its scheduled reconstruction and a high
demand for steel in global markets. The 6.7% decrease in product sales y-o-y to 10,268 thousand tonnes
was driven by long scheduled reconstruction of Hot-Rolling Mill 2500 and a worsening market environment
+ 35.4% Q-o-Q on the back of the coronavirus pandemic.
sales of
hot-rolled
products Sales of long products in Q4 2020 were down by 14.7% q-o-q to 297 thousand tonnes due to a high base in
the previous quarter and the seasonal decline in demand. Year-on-year, sales were down 5.7% to 1,275
thousand tonnes in Q4 2020, reflecting the slowdown in business activity.
The volume of sales of hot-rolled products in Q4 2020 increased by 35.4% q-o-q to 1,505 thousand tonnes.
This was due to the production ramp-up of Hot-Rolling Mill 2500 after its scheduled reconstruction,
- 2.2% Q-o-Q combined with a growing demand for steel in global markets. Year-on-year, sales of hot-rolled products
dropped by 6.8% to 4,542 thousand tonnes in 12M 2020, affected by scheduled reconstruction of
sales of Hot-Rolling Mill 2500.
premium
products In Q4 2020, sales of premium products were down by 2.2% to 1,131 thousand tonnes, and their share of
total sales reached 38.5%, reflecting the growing share of hot-rolled products. Year-on-year, sales of
premium products were down 7.2% to 4,431 thousand tonnes in 2020, while their share of total sales
slipped slightly to 43.2%. The major drivers of the change were a decline in sales of Mill 5000 thick
plate and the slowdown in business activity.
+ 3.2% Q-o-Q The 3.2% increase in sales volumes of Mill 5000 products q-o-q to 202 thousand tonnes was due to the
growth in orders from pipe manufacturers. The 18.8% y-o-y decline in Mill 5000 thick plate sales to 841
sales of Mill thousand tonnes in 12M 2020 was due to changes in order mix amid a 100% capacity utilisation rate.
5000 products
Sales of cold-rolled products in Q4 2020 were down by 4.5% q-o-q to 226 thousand tonnes, due to a more
complex product mix. Year-on-year, sales were down 10.4% to 899 thousand tonnes in 12M 2020, due to the
slowdown in business activity along with an accident at the reverse Cold-Rolling Mill 1700 in February
2020.
- 4.5% Q-o-Q
In Q4 2020, tinplate sales decreased by 15.2% to 38 thousand tonnes due to an equipment overhaul. The
sales of 19.7% y-o-y growth in tinplate sales in 2020 to 168 thousand tonnes reflects a higher demand from the
cold-rolled food industry.
products
The decrease in the sales of galvanised steel in Q4 2020 by 7.3% q-o-q to 298 thousand tonnes was due to
a higher base in Q3 and a more complex product mix. Year-on-year, sales declined by 4.9% to 1,195
- 15.2% Q-o-Q thousand tonnes in 12M 2020.
sales of In Q4 2020, sales of polymer-coated steel reduced by 5.9% q-o-q to 150 thousand tonnes, driven by an
tinplate equipment overhaul. Year-on-year, sales of polymer-coated steel grew by 2.7% to 536 thousand tonnes in
2020, driven by a year-on-year growth in pent-up demand in Q4 2020.
- 7.3% Q-o-Q
sales of
galvanised
steel
- 5.9% Q-o-Q
sales of
polymer-coated
steel
STEEL SEGMENT TURKEY
thousand tonnes Q4 2020 Q3 2020 % 12M 2020 12M 2019 %
Finished products sales, including: 220 200 10.1 741 721 2.8
Flat hot-rolled products 7 5 34.1 19 16 23.8
Premium products, including: 213 194 9.4 721 705 2,4
Flat cold-rolled products - - - - 4 -
Downstream products, including: 213 194 9.4 721 701 3.0
Galvanised steel 163 133 21.8 540 556 - 2.9
Polymer-coated steel 50 61 - 17.9 181 144 25.5
Share of premium products 96.8% 97.4% 97.4% 97.8%
Intersegment sales from Steel segment Russia 108 75 43.8 255 406 - 37.3
+ 10.1% Q-o-Q
sales of The Turkish steel segment's sales of finished products in Q4 2020 were up 10.1% q-o-q at 220 thousand
finished tonnes, reflecting a growing demand from Turkish and European consumers, driven by a limited supply in
products the market and the replenishment of inventories. In Q4 2020, the Turkish steel segment continued its
sales diversification strategy and almost doubled its galvanised steel exports to 97 thousand tonnes.
The increase in 2020 sales by 2.8% y-o-y to 741 thousand tonnes reflects the product portfolio
diversification strategy of the Turkish steel segment and is linked to the significant growth in
polymer-coated steel sales volumes by 25.5% y-o-y to 181 thousand tonnes.
COAL MINING SEGMENT
thousand tonnes Q4 2020 Q3 2020 % 12M 2020 12M 2019 %
Coking coal mining 1,246 965 29.1 4,354 4,811 - 9.5
Coking coal processing 1,404 1,242 13.1 5,291 4,710 12.3
Mined 1,208 1,149 5.2 4,777 4,438 7.6
Purchased 159 93 69.9 477 258 85.1
Toll 37 - - 37 14 166.2
Coking coal concentrate 837 721 16.0 3,059 2,614 17.0
+ 29.1% Q-o-Q
coking coal
production
Coking coal production in Q4 2020 amounted to 1,246 thousand tonnes, an increase of 29.1% q-o-q, after
the decommissioning of an underperforming coal face and the launch of a new one. Year-on-year, coking
coal production was down 9.5% to 4,354 thousand tonnes in 2020, due to the challenging geological
conditions at the Chertinskaya-Koksovaya mine and the suspension of mine operations following an accident
in September.
+ 16.0% Q-o-Q
Coking coal concentrate production in Q4 2020 grew by 16.0% q-o-q to 837 thousand tonnes, driven by
COKING COAL higher coking coal production. The 17.0% y-o-y growth in coal concentrate output to 3,059 thousand tonnes
CONCENTRATE in 2020 was driven by the completion of a beneficiation plant upgrade, which took place throughout 2019,
PRODUCTION as well as the increased processing of purchased coals.
MMK GROUP'S
SUSTAINABILITY PERFORMANCE (ESG)
? In Q3, MMK Group established its ESG department. The department is responsible for all stakeholder
communications as well as the development and execution of the Group's sustainability strategy.
? On 8 July 2020, MMK published a corporate Sustainability Report prepared under Global Reporting
Initiative (GRI) standards. The publication of this Report reflects MMK's commitment to its mission
HIGHLIGHTS and core principles of sustainable development, including the achievement of the UN's Sustainable
Development Goals.
? The newly-reconstructed Blast Furnace No. 2, with its advanced dust exhausting units at cast and
stock houses, was put into operation, which will significantly reduce future dust emissions.
? In February 2020, an appraisal audit was successfully conducted for compliance with the international
standard ISO 45001:2018.
Q4 2020 Q3 2020 % 12M 2020 12M 2019 %
LTIFR 0.53 0.68 - 22.1 0.66 0.89 - 25.8
Gross air emissions, thousand tonnes 54.6 45.4 20.3 177.4 197.0 - 9.9
Specific air emissions, kg/tonne 17.40 17.68 - 1.6 17.15 17.98 - 4.6
- 25.8% Y-o-Y
In 2020, lost-time-injury frequency rate (LTIFR) decreased year-on-year by 25.8% to 0.66, reflecting a (MORE TO FOLLOW) Dow Jones Newswires
January 26, 2021 01:55 ET (06:55 GMT)
