HONG KONG, March 17. /TASS/. Russia’s biggest aluminum producer Rusal recorded a net profit of $1.179 billion last year, the company said in a financial report released at the Hong Kong stock exchange Friday.
"RUSAL continued to see challenging environment in the aluminium industry during 2016," the document reads. "The Company’s revenue for the year ended 31 December 2016 decreased by 8.0% to USD 7,983 million as compared to USD8,680 million for 2015 following a 3.5% decrease in the average London Metals Exchange ("LME") aluminium price from USD1,663 per tonne in 2015 to USD1,604 per tonne in 2016 and a 43.4% drop in the average realized premiums to the LME price. "
Adjusted EBITDA declined by 26.1%, from $2.015 billion in 2015 to 1.489 billion in 2016.
The company achieved adjusted net profit and recurring net profit of $590 million and $1,257 million, respectively, for the year ended December 31, 2016, as compared to $671 million and $1,097 million for the prior year.
"Despite a challenging start of the year, with aluminium prices reaching multi-year lows, RUSAL achieved a solid financial performance in 2016. On the one hand, we saw improved market conditions in the second half of the year, supporting our key performance metrics and on the other, our solid results were down to our dedication to cost management, production discipline, and a stronger focus on innovation and value added products (VAP) development," Rusal CEO Vladislav Soloviev said.
RUSAL completed its debut offering of a 5-year Eurobond with a principal amount of USD600 million after the reporting period.