Metinvest steel output jumps 18% m/m in November

Steel production at Ukraine’s largest producer
Metinvest (METINV) was 31.3 kt per day (940 kt per month) in November, an 18.5%
m/m increase, according to Concorde Capital’s analysis of separate news reports
by Interfax-Ukraine.

Ilyich Steel reported a 0.5% m/m rise in steel
production to 11.7 kt per day, while Azovstal’s output skyrocketed 37.8% m/m to
12.7 kt per day and production at Dniprovskyy Coke jumped 24.0% m/m to 7.0 kt
per day in November.

The holding’s hot iron output shot up 27.9% m/m to
33.0 kt per day in November.

In 11M21, Metinvest’s steel output was 8.67 mmt (26.0
kt per day), or 15.9% more yoy.

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

A jump in steel production in November was likely
caused by the easing of the coking coal deficit.

We maintain our neutral view on METINV bonds.