OREANDA-NEWS. September 12, 2012. Mining Machines increased sales proceeds in 1H 2012 by 43% year on year to UAH 1.515 billion. EBITDA grew five-fold to UAH 225 million.

"The positive trend of financial performance comes firstly from more sales including exports and optimization of fixed costs," said Mining Machines CFO Mikhail Potapov.

The domestic sales went up 37% to UAH 1.299 billion compared with 1H 2011. The company also increased sales of new equipment by 85% and provided four times more services to maintain coal cutters and powered supports. Exports jumped over 89% over the past six months. Main international sales markets include Russia, where Mining Machines RUS operates, and Kazakhstan, where the company is represented by an official dealer, TOO Mining Machines.

As part of the investment programme, the company spent money to establish maintenance facilities for coal cutters, roadheaders and powered supports in 1H 2012.

Highlights in 1H 2012

• February 2012: completed a branch network of Mining Machines RUS

• March 2012: introduced a divisional organisational structure. Established the division of coal cutting and heading machines, the division of open mining machines and the division of infrastructure equipment.

• May 2012: signed an agreement with Vinacomin to build two mine shafts.

• May 2012: installed all necessary equipment for a longwall in mine 1/3 Novogrodovskaya of Selidovugol mining group, including 220 overhauled powered supports, a coal cutter, a pump house, a hoist and electric starters. Average monthly longwall output is 2,500-2,600 tonnes of coal a day.

• June 2012 Mining Machines awarded grand-prix at Russian coal and mining exhibition for its roadheader.

Mining Machines Group is a large Ukrainian producer of mining equipment. It belongs to the financial and industrial group System Capital Management (SCM). Mining Machines designs, produces, delivers and maintains equipment and machinery for the mining industry.

SIC Mining Machines is the managing company of the Mining Machines Group. Ukrainian Machine Building Holding Ltd (Cyprus) is the holding company of the group.

Mining Machines Group includes Druzhkovka Heavy Engineering Plant, Gorlovskiy Mashinostroitel Engineering Plant, Donetskiy Energozavod Engineering Plant, Donetskgormash Engineering Plant, Krivoy Rog Mining Equipment Plant, Kamensk Heavy Engineering Plant, Mining Machines Engineering and Technical Centre, Mining Machines-Quality System, Mining Machines service company and Mining Machines RUS.