Public Joint Stock Company "Novolipetsk Steel" (NLMK) H2 2025 earnings summary

Executive summary

• Consolidated financial statements for the year ended December 31, 2025, were audited and deemed compliant with the stated preparation principles, though not fully IFRS-compliant due to omitted sensitive disclosures.

• The group operates a vertically integrated business model, controlling all production phases from raw material extraction to high value-added steel products, with main operations in Russia, the EU, and the US.

Financial highlights

• Revenue for 2025 was ₽831,351 million, down from ₽979,593 million year-over-year.

• Net profit attributable to shareholders was ₽63,105 million, a significant decrease from ₽121,779 million in 2024.

• EBITDA and operating profit also declined, with gross profit at ₽239,892 million (down from ₽384,344 million) and operating profit at ₽75,389 million (down from ₽206,222 million).

• Basic and diluted EPS was ₽10.53, compared to ₽20.32 in the prior year.

• Cash and equivalents at year-end were ₽115,018 million, up from ₽87,683 million.

Outlook and guidance

• Management continues to monitor geopolitical and economic risks, including sanctions and market volatility, and is taking measures to ensure sustainable operations.

• No dividends were declared for 2025; focus remains on financial stability and capital structure optimization.