OREANDA-NEWS. May 18, 2007. Acron’s first quarter consolidated profits increased 28.3% year-on-year to RUR 7.7 billion, against RUR 6.01 billion in 2006.

Profit on sales for the first quarter was RUR 2 billion, up 21.6% from RUR 1.65 billion last year. Acron posted net profit of RUR 485 million for the first quarter. That figure was influenced by the marked to market revaluation of the company’s financial investments resulting in a loss of RUR 747 million. Net profit excluding the revaluation was up 20.6% year-on-year to RUR 1.23 billion from RUR 1.02 billion last year.

According to Acron Vice President Alexander Popov, “[t]he companies in the Acron Holding have performed well this year. We overcame the negative effects of such macroeconomic indicators as inflation and consolidation of the Russian rouble.” He went on to note that higher prices for mineral fertilizers in the first quarter of 2007 partially offset the rising cost of raw materials. “Our financial performance is looking good because of strong production levels, which are climbing as a result of planned expansion, overhauls and capacity upgrades. We’ve also moved some of our contracts from U.S. dollars into Euros, which allows us to diversify profit and hedge against foreign exchange risks,” Popov said.