KEMEROVO, Russian Federation — February 25, 2016 2:00 PM — Kuzbasskaya Toplivnaya Company PJSC (KTK, MICEX: KBTK), one of the largest producers and exporters of thermal coal in Russia, today announced operating results for the fourth quarter and full year ended December 31, 2015.
Fourth Quarter 2015 Key Production Results
| Q4 2015 |
% of total |
Q3 2015 |
Chg. | Q4 2014 |
Chg.1 | |
| Coal production2, in millions of tonnes, incl.: |
2,62 | - | 2,49 | 5% | 2,79 | -6% |
| Karakansky South open-pit mine | 0,92 | 35% | 0,68 | 35% | 0,88 | 5% |
| Vinogradovsky open-pit mine | 1,03 | 39% | 1,18 | -13% | 1,19 | -13% |
| Cheremshansky open-pit mine | 0,67 | 26% | 0,63 | 6% | 0,72 | -7% |
|
Commercial products3 in millions, of tonnes |
2,28 | - | 2,11 | 8% | 2,47 | -8% |
| Coal processing4, in millions of tonnes, incl.: |
2,05 | 90% | 2,01 | 2% | 2,51 | -18% |
| Sorted coal | 1,09 | 53% | 1,05 | 4% | 1,72 | -37% |
| Washed coal | 0,96 | 47% | 0,96 | - | 0,79 | 22% |
| Washed coal | 0,26 | 27% | 0,27 | -4% | 0,20 | 30% |
| Kaskad 2 washing plant | 0,70 | 73% | 0,69 | 1% | 0,59 | 19% |
| Stripping, in millions of cbm, incl.: |
14,55 | - | 15,20 | -4% | 14,54 | - |
| Blasted rock mass5 in millions of cbm |
8,07 | 55% | 8,91 | -9% | 9,15 | -12% |
| Average stripping ratio6 | 5,60 | - | 6,10 | -8% | 5,20 | 8% |
In the fourth quarter of 2015 the Company produced 3.01 million tonnes of coal. Coal production increased by 15% quarter-over-quarter. The volume of commercial products grew by 17%, to 2.66 million tonnes. Compared to the year-ago quarter, the volume of the Company's commercial products fell by 1%.
Coal processing amounted to 2.16 million tonnes, which is 5% more than in the previous quarter and 11% less than in the fourth quarter of 2014. Total coal washing declined by 3% compared to the previous quarter, to 0.93 million tonnes, of which 74% belongs to the Kaskad 2 washing plant. Coal sorting volume rose by 13% compared to the third quarter of 2015 and amounted to 1.23 million tonnes.
The volume of stripping in the fourth quarter of 2015 was 14.28 million cbm and fell by 2% quarter-over-quarter. The volume of blasted rock mass was 9.60 million cbm, an increase by 19% for the quarter. The share of blasted rock in the stripping was 67%. Average stripping ratio in the fourth quarter saw a decrease by 16% and reached 4.70.
Fourth Quarter 2015 Key Commercial Results
| Q3 2015 |
% of total |
Q2 2015 |
Chg. | Q3 2014 |
Chg.7 | |
| Sales volume8, in millions of tonnes, incl.: |
3,15 | 2,58 | 22% | 3,43 | -8% | |
| Export sales volume | 1,78 | 57% | 1,70 | 5% | 2,13 | -16% |
| Domestic sales volume | 1,36 | 43% | 0,88 | 55% | 1,30 | 5% |
In the fourth quarter sales grew by 22% versus the volume of the previous quarter, reaching 3.15 million tonnes of coal. Year-over-year this figure shows a contraction by 8%. Fourth-quarter export sales increased by 5%, to 1.78 million tonnes. For the quarter, the share of export in total sales was 57%. Domestic sales in the fourth quarter demonstrate a seasonal growth of 55% to 1.36 million tonnes.
Full Year 2015 Key Production Results
| 2015 2015 |
% of total |
2014 2014 |
Chg. | |
| Coal production9, in millions of tonnes, incl.: |
11,00 | 10,61 | 4% | |
| Karakansky South open-pit mine | 3,96 | 36% | 3,40 | 16% |
| Vinogradovsky open-pit mine | 4,47 | 41% | 4,17 | 7% |
| Cheremshansky open-pit mine | 2,57 | 23% | 3,04 | -15% |
|
Commercial products10 in millions, of tonnes |
9,60 | 87% | 9,39 | 2% |
| Coal processing11, in millions of tonnes, incl.: |
8,32 | 76% | 8,70 | -4% |
| Sorted coal | 4,59 | 55% | 5,54 | -17% |
| Washed coal | 3,73 | 45% | 3,16 | 18% |
| Kaskad 1 washing plant | 1,02 | 27% | 0,93 | 10% |
| Kaskad 2 washing plant | 2,71 | 73% | 2,23 | 22% |
| Stripping, in millions of cbm, incl.: |
59,02 | 59,38 | -1% | |
| Blasted rock mass12 in millions of cbm |
35,45 | 60% | 35,55 | - |
| Average stripping ratio13 | 5,40 | 5,60 | -4% |
For the full year 2015 the Company produced 11.00 million tonnes of coal, which is 4% more than in 2014. Commercial product volume in 2015 stood at 9.60 million tonnes, an increase of 2% in yearly terms. Coal processing amounted to 8.32 million tonnes, 4% less than in 2014. The share of processed coal in the commercial products was 87%. Total coal washing grew by 18% to 3.73 million tonnes. Coal sorting volume fell by 17% to 4.59 million tonnes.
In 2015 stripping volume decreased slightly year-over-year and amounted to 59.02 million cbm. The volume of blasted rock mass was 35.45 million cbm, a decline by 1%. The average stripping ratio in the period dropped by 4% year-over-year and reached 5.40.
Full Year 2015 Key Commercial Results
| 2015 2015 |
% of total |
2014 2014 |
Chg. | |
| Sales volume14, in millions of tonnes, incl.: |
10,69 | 10,32 | 4% | |
| Export sales volume | 6,90 | 65% | 7,20 | -4% |
| Domestic sales volume | 3,78 | 35% | 3,12 | 21% |
In 2015 sales increased by 4% versus the volume of the previous year, reaching 10.69 million tonnes of coal. Export sales amounted to 6.90 million tonnes, representing 65% of total sales. Domestic-market coal sales rose by 21% compared to 2014, to 3.78 million tonnes.
On April 11, 2016 the Company is planning to release its consolidated audited IFRS financial statements for the full year 2015.
Contacts for
analysts and investors in Moscow:
Vasily Rumyantsev
Head of Moscow office, IRO
+7 (495)
787-68-05
vkr@oaoktk.ru
Contacts for press in Kemerovo:
Elena
Sarycheva
Head of public affairs department
+7 (3842) 36-47-62
es@oaoktk.ru
KTK at a glance:
Kuzbasskaya Toplivnaya Company PJSC (KTK, MICEX: KBTK) is one of the largest manufacturers and exporters of thermal coal in Russia. The Company’s production assets include four current plots and one projected plot at the Vinogradovsky mine in Kemerovo region, two washing plants and own railroad infrastructure located in the same industrial cluster. The Company operates retail networks in four regions of Western Siberia and in Poland. The company employs over 4,400 people. KTK’s shares are traded on MICEX, the free float is 33.15%.
News and announcements (Russian only): www.facebook.com/oaoktk
Presentations: www.slideshare.net/oaoktk
Video:www.youtube.com/oaoktkru
Financial highlights under IFRS:
Financial highlights under IFRS:
|
in millions of RUB
|
2014
|
2013
|
2012
|
Revenue |
22 250
|
22 490
|
23 104
|
Cost of sales |
18 925
|
19 523
|
18 982
|
|
Production cash costs per tonne, RUB
|
577
|
611
|
690
|
EBITDA |
2 518
|
2 422
|
3 479
|
|
EBITDA margin
|
11%
|
11%
|
15%
|
|
EBITDA per tonne, RUB
|
237
|
239
|
399
|
Net profit |
7
|
640
|
1 810
|
|
Net profit margin
|
-
|
3%
|
8%
|
Net debt |
6 101
|
3 917
|
4 681
|
|
Net debt / EBITDA
|
2,42
|
1,62
|
1,35
|
Additional information about the Company and investor calendar: www.oaoktk.ru/en/investors
Rounding and errors:
Certain numerical figures included in this press release have been subject to rounding adjustments. Accordingly, numerical figures shown as totals in certain tables may not be an arithmetic aggregation of the figures that preceded them. Calculations of change in % are made after rounding of figures.
We make every effort to check and verify the materials, but if you find any errors or inaccuracies please report it to vkr@oaoktk.ru.
