August 26, 2013 14:45
Latvian Liepajas metalurgs swings to loss in H1
RIGA. Aug 26 (Interfax) - Financially troubled Liepājas metalurgs (LM), Latvia's largest metallurgical plant, posted a net loss of 21.747 million lati in the first half of 2013 compared with a net profit of 1.374 million lati in the same period last year, the company said in its earnings report.
Revenue fell 36.2% year-on-year to 97.682 million lati.
Revenue for the Liepājas metalurgs plant alone was down 35.8% to 92.725 million lati, and the net loss was 21.051 million lati, compared with a net profit of 0.726 million lati in the same period last year.
"The losses are due to the overall crisis in the metallurgical sector, both in Europe and globally, and a shortfall of working capital at Liepājas metalurgs. As a result, capacity utilization was 44.6% in the first half of the year and just 14.3% in the second quarter," the report says.
Cargo handling at stevedoring company Liepājas osta LM fell 49% in the first half.
"Structural changes occurred in net revenue: revenue from ship chartering increased, but declined in all other segments. The loss was the result of changes in the structure of cargo handling, caused by JSC Liepajas metalurgs' full stoppage to cargo flows at the end of April of this year, as well as changes in raw materials shipment on the global market," it says.
Liepājas metalurgs' core production facility has been idled owing to the shortfall of working capital. The company's biggest creditors, including the State Treasury, are examining options for rescuing the enterprise. A bankruptcy case to protect the company from creditors has been filed in Liepaja court.
Liepājas metalurgs is the biggest employer in Liepaja with a headcount of about 2,000 people.
The LM group includes the flagship iron and steel plant, as well as stevedoring company Liepajas osta LM, construction materials manufacturer Rukis LM, the Liepajas metalurgs football club and an ice hockey arena, Metalurgs un Duna, LM Resurss, Liepājas naglas and Estonian LM Ressurss.
The lats is pegged to the euro at 0.7028 lati/EUR1.
(Our editorial staff can be reached at email@example.com)
December 09, 2013
Metalloinvest EBITDA down 26% to $480 mln in Q3
Hryvnia won't be devalued, if political situation in Ukraine stabilizes soon - Arbuzov
TIME LIMITATION OF 'THIRD KHODORKOVSKY CASE' EXPIRES IN 2015, FORMER HEAD OF YUKOS MAY BE JAILED FOR 7 MORE YEARS - SOURCE
Federal Security Service officer killed in Dagestan
Finance Ministry puts bad loans at RusAg at 150 bln rubles - paper
MICEX and RTS Indexes at 13:00 MSK
Kazakhmys selling Samruk-Energo power company stakes for $1.3 bln
Russia needs no more than 6 million foreign labor migrants - FMS
Russian, Israeli foreign ministers conferring on world, Middle East affairs
Putin unites Rossiiskaya Gazeta with Rodina magazine, liquidates Russian Book Chamber
Kremlin explains RIA Novosti reorganization with purposes of cost-effectiveness, efficiency of state media
Kremlin explains RIA Novosti reorganization with purposes of cost-effectiveness, efficiency of state media (Part 2)
Surgutneftegas keeps oil production to at 56.2 mln tonnes in 11M