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Dorogobuzh Releases H1 2010 IFRS Consolidated Statements

Today Dorogobuzh (a member of Acron Group) released its IFRS consolidated unaudited condensed financial statements for the first six months of 2010.

H1 2010 Financials

• Revenue reached RUB 5,811 million, up 13% year-on-year (H1 2009: RUB 5,129 million).
• EBITDA* declined 3% to RUB 1,405 million, against RUB 1,455 million in H1 2009.
• EBITDA margin was 24%, compared with 28% in the same period last year.
• Net profit totalled RUB 1,037 million, up 9% year-on-year from RUB 947 million.

* EBITDA is operating profit adjusted for depreciation and amortisation, exchange rate gain/loss and other non-cash and non-standard items.

Operating Results

• Total sales reached 759,000 tonnes, down 6% year-on-year.
• Complex fertiliser sales were up 6% year-on-year to 303,000 tonnes.
• Ammonia and nitrogen-based fertiliser sales decreased 10% year-on-year to 440,000 tonnes.

Notes to main statement items

Higher complex fertiliser sale prices and volumes contributed to the increase in Dorogobuzh’s revenue in H1 2010. EBITDA was down slightly on higher production costs, primarily elevated prices for key mineral fertiliser raw materials in Russia.

On a more positive note, Dorogobuzh managed to increase its net profit owing to stronger financial income and the consolidation of a profit share from its associate Estonian port terminal AS DBT (Dorogobuzh acquired a 50% interest last year).

Financial Statements