PJSC Alrosa on March 15 reported net profit of 78.62 billion Russian rubles for 2017, down 41% on a yearly basis, driven by lower EBITDA, foreign exchange effects and the revaluation of the group's gas assets.
EBITDA totaled 126.89 billion rubles, down 28% from 176.42 billion rubles booked in 2016.
Revenue, likewise, fell 13% year over year to 275.38 billion rubles, which Alrosa attributed to a 9% decrease in the average price of gem-quality diamonds sold mainly as a result of product mix changes and the ruble's appreciation against the U.S. dollar.
The results came even as the company posted increases in full-year diamond production and sales.
As previously reported, Alrosa produced 39.6 million carats of diamonds in 2017, up 6% year over year, helped by higher output at the Udachny underground mine of the Udachny Division, higher grade at the Jubilee pipe, increased grade at Lomonosov and higher production at the Botuobinskaya pipe at Nyurba.
Sales were up 3% to 41.2 million carats, according to the statement.
Capital expenditure came in at 26.94 billion rubles, down 15% on a yearly basis, mainly due to completing construction at the Udachny underground mine.
Alrosa's net debt stood at 86.05 billion rubles in 2017. The group noted that an early repayment of bank loans resulted in a twofold reduction of debt since 2016.
As of March 15, US$1 was equivalent to 57.44 Russian rubles.
