FY07 RAS net income drops 7.5% at ChZP

Chelyabinsk Zinc Plant reported a 7.5% y-o-y decline in its RAS net income to Rb 1,978 mn in 2007. This happened because zinc contracts took a dive on LME and a weakening dollar.

Chelyabinsk Zinc Plant, which is part of ChTPZ Group, reported a 7.5% y-o-y decline in its RAS net income in 2007. The metal producer’s indicators deteriorated due to a sharp decline in zinc contracts on the London Metal Exchange (LME) and also a weakening dollar.

In the fourth quarter of 2007 the company’s net income totaled Rb 237.2 mln (around $9.3 mln). News agencies reported earlier that ChZP’s 9M07 net income amounted to Rb 1,741 mln (roughly $70 mln). This means that the metal producer’s FY07 net income came to Rb 1,978 mln (around $80 mln) or down 7.5% against 2006.