A senior Norilsk Nickel representative reported that in the first half of 2025, the company managed to reduce its stockpiled metal inventories and increase sales volumes, and also maintained the goal of reducing working capital by $1 billion.
"In the first half of 2025, despite the mixed situation on commodity markets and unfavorable exchange rates and macroeconomic factors, some of the company's financial metrics improved," TASS quotes the company's first vice president and CFO Sergei Malyshev as saying.
"As logistics was established in the new conditions, taking into account external restrictions, we managed to reduce the level of accumulated inventories and increase metal sales volumes," he added.
Malyshev also moted that Nornickel is implementing additional measures to improve operational efficiency, which will offset the negative effect of inflation in the second half of 2025.
The company's revenue from metal sales in the first half of the year increased by 16%, to $6.1 billion. The share of sales in the Russian Federation and the CIS countries decreased by 5 percentage points, which were evenly redistributed to other regions.
Malyshev said that the growth of working capital in the first half of the year is attributed to macroeconomic factors.
"Current difficulties in the passage of funds, caused by fears of secondary sanctions from counterparty banks, limited the optimization effect of working capital due to the release of accounts receivable. Nevertheless, the management maintains the goal of reducing working capital by $1 billion in the medium term, not taking into account the influence of macroeconomic factors," Malyshev explained.
Theodor Lisovoy, Managing Editor, Rough&Polished
