Sadovaya coal sales fall 47% yoy in January

Sadovaya Group (SGR PW) reported 58.4 kt in coal sales in January, down 47% yoy and 53% mom. Total coal mining grew 33% yoy, but dwindled 36% mom to 36.4 kt. Coal production from waste recovery grew 5.8% yoy, but fell 42% mom to 3.5 kt.

Roman Topolyuk: Sadovaya’s operating results in January were a surprise. The company attributed the decrease in mining firstly to repairs at its subsidiary, Sadovaya Mine, which were finished in late February. Secondly, it said January was a weak month overall for the market. Sadovaya’s production in July 2011 and January 2012 shows that it is more sensitive to market downturns than WSE-listed peer Coal Energy (CLE PW), which reported almost flat mom operating results in January.