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Luhanskteplovoz increases output 60% yoy in 7M13
The CIS-leading diesel locomotive producer Luhanskteplovoz (LTPL UK) increased its 7M13 production by 60% yoy in value terms, according to an August 16 company press release. In particular, Luhanskteplovoz produced 133 sections of diesel locomotives in 7M13, (vs. 80 sections and two diesel trains in 7M12).
In 7M13, the company produced 108 sections of its flagship 2TE116U locomotive, 22 sections of its 2TE116UD model powered by General Electric, and one three-section locomotive 3TE116U which passed certification tests last month.
The company plans to deliver 26 units of double-section locomotives and one triple-section locomotive in August.
Roman Dmytrenko: The company’s annual production plan was to produce 249 diesel locomotive sections (21 section per month) and one diesel train. Based on the presented data, the company is catching up to its plan, as it produced, on average, 19 locomotive sections per month in 7M13, and 22 sections in July alone.
While the company is close to increasing its output by about 60% yoy this year, we do not expect this growth will have a positive effect on the company’s bottom line. As the last year demonstrated, Luhanskteplovoz’s profit fell despite a 53% yoy output increase, which we attribute to possible transfer pricing employed by its Russian parent holding company.
Источник: Конкорд Капитал
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