Mechel OAO

CIK:0001302362|SEC Filings

Consolidated Statement of Profit or Loss and Other Comprehensive Income - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Continuing operations
Revenue from contracts with customers	₽ 402,074	₽ 265,454	₽ 287,153
Cost of sales	(223,993)	(170,605)	(183,086)
Gross profit	178,081	94,849	104,067
Selling and distribution expenses	(54,721)	(49,994)	(48,432)
Impairment of goodwill and other non-current assets, net	(2,899)	(3,897)	(1,804)
Allowance for expected credit losses	(201)	(149)	(234)
Taxes other than income taxes	(3,550)	(3,446)	(4,517)
Administrative and other operating expenses	(16,513)	(18,437)	(15,568)
Other operating income	2,469	999	688
Total selling, distribution and operating income and (expenses), net	(75,415)	(74,924)	(69,867)
Operating profit	102,666	19,925	34,200
Finance income	676	3,504	590
Finance costs	(23,371)	(25,145)	(33,863)
Foreign exchange gain (loss), net	7,891	(36,388)	18,288
Share of (loss) profit of associates, net	(7)	20	28
Other income	1,341	718	228
Other expenses	(66)	(259)	(483)
Total other income and (expense), net	(13,536)	(57,550)	(15,212)
Profit (loss) before tax from continuing operations	89,130	(37,625)	18,988
Income tax expense	(6,511)	(2,528)	(7,913)
Profit (loss) from continuing operations	82,619	(40,153)	11,075
Discontinued operations
Profit (loss) after tax from discontinued operations	0	41,609	(6,790)
Profit	82,619	1,456	4,285
Attributable to:
Equity shareholders of Mechel PAO	80,570	808	2,409
Non-controlling interests	2,049	648	1,876
Other comprehensive income
Other comprehensive (loss) income that may be reclassified to profit or loss in subsequent periods, net of tax:	(152)	2,042	(1,771)
Exchange differences on translation of foreign operations	(152)	2,042	(1,771)
Other comprehensive income (loss) not to be reclassified to profit or loss in subsequent periods, net of tax	1,043	253	(867)
Net (loss) gain on equity instruments designated at fair value through other comprehensive income	(27)	53
Re-measurement of defined benefit plans	1,070	200	(867)
Other comprehensive income (loss), net of tax	891	2,295	(2,638)
Total comprehensive income, net of tax	83,510	3,751	1,647
Attributable to:
Equity shareholders of Mechel PAO	81,444	3,099	(210)
Non-controlling interests	₽ 2,066	₽ 652	₽ 1,857
Earnings per share
Weighted average number of common shares	404,776,126	412,589,910	416,256,510
Earnings per share (Russian rubles per share) attributable to common equity shareholders – basic and diluted	₽ 199.05	₽ 1.96	₽ 5.79
Earnings (loss) per share from continuing operations (Russian rubles per share) – basic and diluted	199.05	(98.89)	22.10
Earnings (loss) per share from discontinued operations (Russian rubles per share) – basic and diluted	₽ 0	₽ 100.85	₽ (16.31)

Consolidated Statement of Cash Flows - RUB (₽) ₽ in Millions	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Cash flows from operating activities
Profit (loss) from continuing operations	₽ 82,619	₽ (40,153)	₽ 11,075
Profit (loss) after tax from discontinued operations	0	41,609	(6,790)
Profit	82,619	1,456	4,285
Adjustments to reconcile profit to net cash provided by operating activities
Depreciation and amortisation	13,357	14,818	15,176
Foreign exchange (gain) loss, net	(7,891)	37,765	(19,241)
Deferred income tax (benefit) expense	(3,658)	2,574	2,288
Allowance for expected credit losses	201	149	235
Gain on restructuring and forgiveness of trade and other payables and write-off of trade and other payables with expired legal term	(1,312)	(122)	(167)
Write-off of inventories to net realisable value	769	928	1,763
Impairment of goodwill and other non-current assets, net and loss on write-off of non-current assets	3,302	4,350	2,880
Finance income	(676)	(3,504)	(600)
Finance costs	23,371	26,853	38,830
Provisions for legal claims, income tax and other taxes and other provisions	(1,257)	24	3,630
Gain on sale of discontinued operations		(45,580)
Gain on disposal of a subsidiary	(1,130)
Other	(234)	(146)	203
Changes in working capital items
Trade and other receivables	(8,692)	(236)	1,546
Inventories	(24,079)	(5,283)	(1,511)
Trade and other payables	(6,120)	1,137	4,037
Advances received	8,149	995	650
Taxes payable and other liabilities	10,583	4,580	5,151
Other assets	(2,224)	(1,474)	1,238
Income tax paid	(11,540)	(1,335)	(2,735)
Net cash provided by operating activities	73,538	37,949	57,658
Cash flows from investing activities
Interest received	436	129	76
Royalty and other proceeds associated with disposal of subsidiaries	0	0	17
Proceeds from loans issued and other investments	3	39	313
Proceeds from disposal of the discontinued operations, net of cash disposed of	0	88,979
Cash disposed of due to disposal of subsidiary	(15)	0
Proceeds from disposals of property, plant and equipment	332	119	211
Purchases of property, plant and equipment and intangible assets	(6,208)	(4,883)	(6,538)
Net cash (used in) provided by investing activities	(5,452)	84,383	(5,921)
Cash flows from financing activities
Proceeds from loans and borrowings, including proceeds from factoring arrangement of nil, RUB 1 million and RUB 214 million for the periods ended December 31, 2021, 2020 and 2019, respectively	16,210	77,367	7,599
Repayment of loans and borrowings, including payments from factoring arrangement of RUB 117 million, RUB 353 million and RUB 2,222 million for the periods ended December 31, 2021, 2020 and 2019, respectively	(42,241)	(176,883)	(20,772)
Repurchase of common shares	0	(844)
Sale and purchase of non-controlling interest in subsidiaries	144	169
Dividends paid to shareholders of Mechel PAO	(98)	(292)	(1,515)
Dividends paid to non-controlling interests	(13)	(3)	(16)
Interest paid, including fines and penalties	(19,403)	(22,912)	(30,923)
Payment of principal portion of lease liabilities	(3,620)	(2,660)	(2,276)
Sale and leaseback transactions	(75)	462	248
Acquisition of assets under deferred payment terms	(95)	(508)	(341)
Deferred consideration paid for the acquisition of subsidiaries in prior periods	0	0	(361)
Net cash used in financing activities	(49,191)	(126,104)	(48,357)
Foreign exchange (loss) gain on cash and cash equivalents, net	(237)	(61)	(891)
Changes in allowance for expected credit losses on cash and cash equivalents	(19)	28	(2)
Net increase (decrease) in cash and cash equivalents	18,639	(3,805)	2,487
Cash and cash equivalents at beginning of period	1,706	3,509	1,803
Cash and cash equivalents, net of overdrafts at beginning of period	(938)	2,867	380
Cash and cash equivalents at end of period	17,701	1,706	3,509
Cash and cash equivalents, net of overdrafts at end of period	₽ 17,701	₽ (938)	₽ 2,867

Consolidated Statement of Financial Position - RUB (₽) ₽ in Millions	Dec. 31, 2021	Dec. 31, 2020
Non-current assets
Property, plant and equipment	₽ 75,509	₽ 81,345
Right-of-use assets	12,412	12,840
Mineral licenses	17,741	18,458
Goodwill and other intangible assets	10,684	10,768
Other non-current assets	193	226
Investments in associates	334	341
Non-current financial assets	731	445
Deferred tax assets	4,989	561
Total non-current assets	122,593	124,984
Current assets
Inventories	62,449	42,138
Income tax receivables	24	45
Other current assets	10,348	8,423
Trade and other receivables	24,315	16,403
Other current financial assets	100	141
Cash and cash equivalents	17,701	1,706
Total current assets	114,937	68,856
Total assets	237,530	193,840
Equity
Treasury shares	(907)	(907)
Additional paid-in capital	23,410	23,410
Accumulated other comprehensive income	2,265	1,391
Accumulated deficit	(192,714)	(273,186)
Equity attributable to equity shareholders of Mechel PAO	(162,943)	(244,289)
Non-controlling interests	15,665	13,618
Total equity	(147,278)	(230,671)
Non-current liabilities
Loans and borrowings	100	2,201
Lease liabilities	3,886	3,958
Other non-current financial liabilities	1,666	1,901
Other non-current liabilities	77	301
Pension obligations	3,974	5,232
Provisions	4,118	4,802
Deferred tax liabilities	7,548	6,773
Total non-current liabilities	21,369	25,168
Current liabilities
Loans and borrowings	283,382	314,836
Lease liabilities	7,526	7,535
Trade and other payables	36,278	43,783
Other current financial liabilities	460	324
Income tax payable	6,409	7,843
Taxes and similar charges payable other than income tax	9,966	10,969
Advances received	14,200	6,067
Other current liabilities	241	1,038
Pension obligations	553	631
Provisions	4,424	6,317
Total current liabilities	363,439	399,343
Total liabilities	384,808	424,511
Total equity and liabilities	237,530	193,840
Common shares [member]
Equity
Common shares	4,163	4,163
Preferred shares [member]
Equity
Preferred shares	₽ 840	₽ 840