PJSC Magnitogorsk Iron and Steel Works ("MMK") sold more than 1.2 mln tonnes of metal in 2017, generating revenue of more than RUB 46 bln. End customers accounted for 65% of the sales portfolio. The results were presented by Denis Lyadov, Director at MMK Trading House, during his speech at the annual meeting of the Russian Union of Metal and Steel Suppliers in Sochi.

MMK Trading House, the authorised supplier of MMK products on the spot market, has 30 branches in Russia (with its head office in Magnitogorsk) and five branches in Kazakhstan. Its strategic regions include the Urals, Volga region and Siberia. The Trading House’s key production asset is located in Shelkovo and produces profiled flooring, siding, sandwich panels and finishing accessories, and also cuts rolled metal. The plant’s current processing capacity amounts to approx. 100 ths tonnes per year with capacity utilisation rate of 80% in 2017. To improve product quality, there are plans to commission new equipment on the sandwich panel production line.

Currently, MMK Trading House is introducing a barcode system at its warehouses. The system is already used at the facilities in Magnitogorsk and Shelkovo, and testing has started in Ufa. The barcode system will help speed up shipments and reduce accounting, inventory tracking and paper costs.

MMK Trading House continues to increase sales of high-tensile and wear-resistant steel under the MAGSTRONG brand. This steel is in high demand from producers of construction, agriculture and mining equipment. Russian consumers appreciate the metal’s specifications and express interest in buying it. MMK Trading House is also successfully promoting MAGSTRONG steel in Kazakhstan.

The annual meeting of the Russian Union of Metal and Steel Suppliers took place in Sochi on 8-9 June. Participants included senior managers of the Union’s member companies and leading Russian metal producers. At the plenary session on 8 June, participants discussed the current situation and potential for development of ferrous and non-ferrous metal production and consumption in Russia; regional markets and metal distribution; services and metal working; and cooperation between the Union’ s member companies.

About MMK

MMK is one of the world's largest steel producers and a leading Russian metals company. The company's operations in Russia include a large steel-producing complex encompassing the entire production chain, from the preparation of iron ore to downstream processing of rolled steel. MMK turns out a broad range of steel products with a predominant share of high-value-added products. In 2017, the company produced 12.9 million tonnes of crude steel and 11.6 million tonnes of commercial steel products. MMK Group had sales in 2017 of USD 7,546 million and EBITDA of USD 2,032 million.

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