MMK posts 1Q 2010 net profit of $94 million

Steel producer, Magnitogorsk Iron & Steel Works, or MMK, has posted a 1Q 2010 net profit $94 million under IFRS.

The bottom line is up from 1Q 2009 net losses of $110 million, however down 57% quarter-on-quarter compared with a 4Q 2009 net profit $219 million. EBITDA rose more than 260% year-on-year to $364 million, as 1Q revenues increased 70% to $1.652 billion.

The company noted the results reflected a 34% increase in average steel prices over a year earlier, with finished steel production up 28% year on year during the quarter, as higher value added products drove the growth.