"United Mining and Chemical Company" | News | UMCC reported 20% increase in sales

UMCC reported 20% increase in sales
UMCC reported 20% increase in sales

31.01.2018

PJSC United Mining and Chemical Company reported an increase in sales in 20017. Specifically, the company sold products for the total amount of UAH 2.769 bn, which is 20% more than in 2016.
The company has its sales department to thank for the positive sales dynamics. The department succeeded in increasing sales of products by volume thanks to persistent work with the clients, who monitor the product quality and risks of working with the company quite closely.  Any mistake on the part of PJSC UMCC and the company would have dropped back a year or two, comments Acting Chairman of the Board of PJSC UMCC Oleksandr Gladushko.
That is why despite stiff competition and high dependence of the company on the fluctuations of global trends, UMCC managed to sell 124,000 t of its key product – ilmenite concentrate – at Vilnohirsk Mining and Metallurgical Plant, the company's subsidiary. That is 41% growth over the previous reported period. Ilmenite sales at Irshansk subsidiary also increase, although not by as much – from 206,000 t to 212,400 t.
In monetary terms, Irshansk Mining and Processing Plant reported 58.6% increase of its sales, Vilnohirsk Mining and Metallurgical Plant – 57.9%. This is very substantial growth of recent years, taking into account that the global raw materials markets have only started recovering from the crisis.
“Last year was a breakthrough for us from the point of view of increase of demand for our products, which is why we used the opportunity. China has changed the situation with sales. More specifically, measures of the local government aimed at forcing manufacturers of ilmenite and TiO2 observe environmental standards played into the hands of other market players. The situation led to temporary shutdown of Chinese companies in this sector, while other players used it to increase supplies of their products to Chinese processors and other countries importing titanium raw materials,” commented Gladushko.
Last year's situation on the global market allowed UMCC to sell the products that accumulated at the warehouses of its subsidiaries in recent years. The products of Irshansk plant sold most actively.
In addition to ilmenite, the processors showed interest in Vilnohirsk's zircon concentrate and products of its processing, in particular, KCP-63 and KCP-45 powders. These kinds of powder products are actively used in the production of ceramics and coatings. Therefore, the branch is increasing both production and sale of these products to consumers, says the head of the company. For these reasons, the above-mentioned production sites are covered by investments and their reconstruction is under way. The goal is to improve economic indicators, namely, to increase finished products output.