The net profit of KAMAZ by IAS in 2014 fell by 20 times – RIA Novosti

MOSCOW, April 29 – RIA Novosti / Prime. The net profit of KAMAZ by IAS in 2014 was reduced 20 times compared with the previous year – to 211 million rubles, the report says the company.

“The greatest negative effect on the decline in profits was negative exchange differences on financial and non-financial liabilities, the recognition of the share of loss of associates and joint ventures,” – says the company.

The revenue of Russia’s largest truck manufacturer company For the reporting period decreased by 3.25% – up to 110.6 billion rubles. Gross profit “KAMAZ” in 2014 decreased by 13.7% to 14.589 billion rubles, operating profit decreased by 60.6% to 2.243 billion rubles, profit before tax – nine times, to 608 million rubles.

“The decrease in revenues due to the decline of the automotive market, caused mainly by macroeconomic factors such as rising interest rates and the negative impact of exchange rates”, – the report says. Also among the factors that have a negative impact on the market of trucks, called the lack of major infrastructure projects, low investment activity, geopolitical tensions and the tightening of banks’ claims to obtain bank guarantees.

Long-term liabilities automaker during the reporting period increased by 7, 13% – to 15.243 billion rubles, short-term liabilities – by 45.8% to 41.34 billion rubles. Indicator EBITDA “KAMAZ” in 2014 decreased by 38% to 5.6 billion rubles, the net debt / EBITDA for the last year was 2.3 compared to 1.3 for 2013.

In 2014 year as a result of the program to enhance the effectiveness of “KAMAZ” reduce costs in the amount of 8.763 billion rubles and to reduce the negative impact of rising exchange rates and the consequent rise in purchases of imported components, the company said. Investments in research and development and modernization of fixed assets last year amounted to 6.189 billion rubles, or 6% of revenue.