Metinvest steel output rises 14% m/m in January

Steel production at Ukraine’s largest producer
Metinvest (METINV) was 31.3 kt per day (969 kt per month) in January, a 14.0%
m/m increase, according to Concorde Capital’s analysis of separate news reports
by Interfax-Ukraine.

Ilyich Steel reported a 5.6% m/m gain in steel
production to 12.3 kt per day, while Azovstal’s output added 11.8% m/m to 11.9
kt per day and production at Dniprovskyy Coke jumped 37.5% m/m to 7.1 kt per
day in January.

The holding’s hot iron output inched up 3.7% m/m to
29.0 kt per day in January.

Dmytro Khoroshun: Steel
production volumes at Metinvest will amount to at least 29-30 kt per day in the
coming months.

January’s m/m rebound in Metinvest’s steel production
is reassuring after December’s weak performance.

We maintain our neutral view on METINV bonds.