OREANDA-NEWS. On 06 June 2008 OMZ OJSC, announced its financial results for 2007 in accordance with Russian Accounting Standards (RAS).

The company’s revenues reached more than RUR21 billion, 22% more in comparison with 2006. OMZ’s net profit doubled to over RUR1 billion.

OMZ Group’s operating activities in various business segments have stable positive dynamics.

The metallurgical division of OMZ increased its revenues by 38% for 2007 against 2006. The Group’s mining division’s revenue growth reached 21%. OMZ Group’s oil and gas business developed quickly in 2007, with revenues rising twelve-fold.

In 2007 OMZ Group invested more than RUR1 billion in modernizations, increased production efficiency and development of its companies. Implementation of a program aimed at decreasing production costs was continued. The program covers all technological processes from steel smelting to the manufacture of finished products and provides for decreased consumption of materials and energy resources during production processes. The program includes increased mechanization and automation of manufacturing processes, improved production technologies, production and labor organization, work standardization and labor remuneration, and other elements.

Despite the positive dynamics of OMZ Group’s operations for 2007, an insufficient number of orders from nuclear power companies were a key negative factor having an impact on the Group’s business for the period.