JSC Atomenergomash increased consolidated proceeds according to the results of 2016 by 13% to 63,3 billion rubles.
In 2016, the consolidated proceeds of machine-building division of Rosatom Atomenergomash Group according to preliminary data, increased by 7,2 billion rubles or 13% and amounted to 63,3 billion rubles. EBITDA tripled to 6,8 billion rubles. ndex of effectiveness of operating activities – EBITDA margin – increased by 7% and amounted to 11%. The growth of profitability is determined by the productivity enhancement both of the capital equipment of nuclear power plant, and of the non-nuclear business areas. Also the sale of the non-core assets of almost 1 billion rubles had the beneficial effect.
“In 2014 and 2015, we modified the business model of the division's work notably: we defined the target markets, where we will develop, made the necessary changes in the organizational structure, substantially increased the stock of orders, and now this work gives a positive effect. In particular, in 2016 the maximum proceeds for the 4 years for non-nuclear businesses were received: in petrochemical industry, heat power engineering and shipbuilding, and, in general, the share of new businesses in the total revenue of the division amounted to 43.7%. Additionally, we minimized the number of the contracts concluded through the head office by substantially expanding the self-contracting possibilities of enterprises. This fact, naturally, reduced the proceeds of the management company, however it gave the opportunity to improve efficiency, decision-making speed, and, as a result, scale up massively the consolidated indices across the whole division. One the company’s overarching aims in 2017 is further enhancement of efficiency, lowering the lead time of manufacturing and management processes, increase in revenues and stock of orders in nuclear sector and other business areas”, the CEO of JSC Atomenergomash Andrey Nikipelov said.
The final financial Atomenergomash Group’s results will be published in the integrated annual report for 2016 after passing an audit and obtaining corresponding audit report.