OREANDA-NEWS. June 6, 2011. Dorogobuzh (a company of the Acron Group) released its unaudited IFRS consolidated condensed interim financial statements for Q1 2011.

Financial Highlights

• Revenue totalled RUB 4.48 billion, up 37% year-on-year (Q1 2010: RUB 3.28 billion)

• EBITDA* was RUB 1.58 billion, up 88% year-on-year (Q1 2010: RUB 0.84 billion)

• EBITDA margin was 35%, up from 26% in Q1 2010

• Net profit more than doubled to RUB 1.51 billion (against RUB 0.69 billion in Q1 2010)

*EBITDA is calculated as operating profit plus depreciation and amortisation, profit (loss) from currency exchange and other non-cash and non-standard items.

Financial Results Analysis

Higher global prices and a considerable increase in mineral fertiliser sales drove Dorogobuzh’s revenue up 37% and boosted EBITDA by 88%.

Net profit more than doubled principally due to higher operating revenue, as well as an exchange gain from revaluation of Dorogobuzh’s foreign currency-denominated liabilities riding on a stronger rouble.

Dorogobuzh’s net debt as of the end of the reporting period was down 31% to RUB 2.5 billion, against RUB 3.66 billion in late 2010. Higher operating revenue also accounted for reduced debt.