UPDATE 1-Russian steel firm Evraz's core profits drop 38 pct

Thu Aug 18, 2016 4:08am EDT
 
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* Evraz says H1 EBITDA fell 38 pct y/y to $577 mln

* Sees 2016 capex in a range of $375-400 mln

* Expects gradual increase in Russian domestic prices

* Shares down 4 pct in London, top UK midcap loser (Adds details, context)

MOSCOW, Aug 18 (Reuters) - Evraz, one of Russia's largest steel producers, reported a 38 percent fall in first-half core earnings on Thursday, hit by weaker steel prices and missing market forecasts.

The London-listed shares were down nearly 4 percent at 166.6 pence by 0800 GMT, making them the top midcap loser in the FTSE 250 Index , which was up 0.5 percent.

Along with its Russian rivals the company, part-owned by Chelsea soccer club owner Roman Abramovich, has been hit by low steel prices and depressed demand which outweighed the benefits of a weaker rouble.

Evraz said its earnings before interest, taxation, depreciation and amortisation (EBITDA) in the first six months of the year fell to $577 million from $932 million in the same period of 2015. Analysts polled by Reuters had on average expected a result of $593 million.

Net profit fell to $7 million from $19 million in the same period last year, while revenue fell 28 percent to $3.5 billion.   Continued...