Page 183 - RusRPTJun24

rubles. per share (dividend yield 8.6%). The company's board of directors will consider the dividend recommendation at its meeting on May 29.
9.2.16 Other sector corporate news
May 24 Segezha disclosed operating results and financial results under IFRS for 1Q24, which were in line with consensus expectations. The dynamics of operating indicators were mixed: sales of lumber and sack paper decreased by 13% and 32% QoQ to 519 thousand cubic meters. m and 45 thousand tons, respectively, sales of paper packaging increased by 6% QoQ to 200 million bags. The pricing environment improved in 1Q24: prices for lumber increased by 7% qoq (to €164/cubic m), for sack paper and paper packaging - by 10% qoq (€559/tonne) and 7% qoq sq. (€184/thousand bags), respectively.
The company's revenue decreased by 8% QoQ to RUB 22.8 billion. (under the influence of a decrease in sales volumes). At the same time, EBITDA increased by 11% QoQ to RUB 2.5 billion. thanks to a significant reduction in sales costs (-14% qoq). The company received an adjusted net loss of RUB 5 billion. Free cash flow was negative at RUB 9.6 billion. The company's debt (excluding lease obligations) increased by 3% QoQ to RUB 137 billion, and the net debt/EBITDA ratio was 12.5x versus 13.2x at the end of 2023.
On a call with investors, the company reported that it was working on measures for a comprehensive debt restructuring: providing a grace period for servicing interest and repaying the debt, as well as increasing the repayment period. Segezha plans to resolve the debt issue by the end of this year. The decision to conduct an additional share issue was not made. Commenting on the new investments, the company noted that the investments will depend on the results of negotiations on debt restructuring and will mainly be related to the completion of a number of deferred projects.
183 RUSSIA Country Report June 2024 www.intellinews.com