Page 143 - RusRPTDec20

with Russian President Vladimir Putin that the planned facility on Sukhodol Bay would produce 1.5mn tonnes of steel sheet and steel pipe products per year. The Zvezda shipbuilding yard is set to play a prominent role in Russia’s push to make the Northern Sea Route an important Arctic transit corridor for oil, coal and commercial shipping. Sechin asked Putin to help the project by supporting the building of roads and accommodation, adding that construction would involve around 1,500 workers.
The net profit of Russian metals holding​ ​Metalloinvest​ halved to US $222mn in July–September ​on the year, as calculated under International Financial Reporting Standards (IFRS), the company said in a statement on Monday. Revenue decreased by 14.2% on the year to $1.497bn in the period, while earnings before interest, taxes, depreciation, and amortization (EBITDA) contracted by 18.6% to $573mn. The EBITDA margin decreased to 38.3% from 40.4%.
9.2.12​ Transport corporate news
Russian Railways (RZD) released its October operating results 2 November.​ During the month, cargo volumes rose 0.3% YoY to 109.9mnt despite RZD expecting such volumes to decline. The published figures for October showed that cargo volumes had increased 0.3% YoY to 109.9mnt, although total cargo volumes for January-October were down 3.2% YoY to 1,031.9mnt. The main contributors to the October dynamics were oil and oil products (-11.1% YoY to 16.8mnt) and ferrous metals (-3.5% YoY to 5.5mnt). However, cargo volumes for grain increased 6.7% YoY to 3.2mnt, and building materials were up 10.2% YoY to 11.9mnt during the same period. Coal transportation was flat YoY at 32.7mnt. Freight turnover and freight turnover taking into account empty wagon runs increased 0.4% YoY and 0.2% YoY to 232.2bnt/km and 285.5bnt/km, respectively. The negative trend in cargo volumes started to recover in April, when the bottom for this year was reached following the COVID-19 outbreak. During June-October, RZD’s actual results managed to outperform its initial outlook. RZD currently expects cargo volumes to decline 3.5% YoY in 2020, although it could outperform this forecast.
Russian Railways (RZD)​ expects long-distance passenger traffic to contract by 30% on the year in 2020 ​if no additional restrictions are imposed over the coronavirus pandemic, Deputy CEO Dmitry Pegov told reporters on Thursday. “The most optimistic thing that I can say is that we stay within the figures that I’ve disclosed this summer. We plan to transport around 844mn passengers. This is a contraction of 29.5%. But it will happen obviously if there are no additional restrictions, if we stay under the conditions that were announced currently, the forecast for contraction of passenger traffic will remain at 30%,” he said. The fall of suburban passenger traffic will be smaller as people still have to work and as the company did not cancel any suburban trains, he said. The company prepared three scenarios for the long-distance
143 ​RUSSIA Country Report​ December 2020 www.intellinews.com