IFRS FINANCIAL RESULTS 8 November 2018 Photo: Nyurbinskaya pipe, - - PowerPoint PPT Presentation

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IFRS FINANCIAL RESULTS 8 November 2018 Photo: Nyurbinskaya pipe, - - PowerPoint PPT Presentation

ALROSA Q3 AND 9M 2018 IFRS FINANCIAL RESULTS 8 November 2018 Photo: Nyurbinskaya pipe, Yakutia DISCLAIMER The below applies to the presentation (the Presentation) following this important notice, and you are therefore advised to read this


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SLIDE 1

8 November 2018

ALROSA Q3 AND 9M 2018 IFRS FINANCIAL RESULTS

Photo: Nyurbinskaya pipe, Yakutia

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SLIDE 2

DISCLAIMER

The below applies to the presentation (the “Presentation”) following this important notice, and you are therefore advised to read this important notice carefully before reading, accessing or making any other use of this Presentation. This Presentation contains statements about future events and expectations that are forward-looking statements. Any statement herein (including, without limitation, a statement regarding our financial position, strategy, management plans and future objectives) that is not a statement of historical fact is a forward-looking statement that involves known and unknown risks, uncertainties and other factors which may cause ALROSA’s actual results, performance or achievements to be materially different from any future results, performance

  • r achievements expressed or implied by such forward-looking statements.

Past performance should not be taken as an indication or guarantee of future results, and no representation or warranty, express or implied, is made regarding future performance. The information and opinions contained in this document are provided as at the date hereof (unless indicated otherwise) and are subject to change without notice. ALROSA assumes no obligation to update, supplement or revise the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements. This Presentation does not constitute or form part of and should not be construed as, an offer to sell or issue or the solicitation of an offer to buy or acquire any securities in any jurisdiction or an inducement to enter into any investment activity. The contents hereof should not be construed as investment, legal, tax, accounting or other advice, and investors and prospective investors in securities of any issuer mentioned herein are required to make their own independent investigation and appraisal of the business and financial condition

  • f such issuer and the nature of the securities and consult their own advisers as to legal, financial, tax and other related matters.

This Presentation has not been independently verified. No representation or warranty or undertaking, express or implied, is made as to the accuracy, completeness or fairness of the information or opinions contained in this Presentation. None of ALROSA nor any of its shareholders, directors, officers or employees, affiliates, advisors, representatives nor any other person accepts any liability whatsoever for any loss howsoever arising from any use of this Presentation or its contents or otherwise arising in connection therewith. No reliance may be placed for any purpose whatsoever on the information contained in this Presentation or on its completeness, accuracy or fairness. This Presentation is not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction. Persons in whose possession this Presentation and/or such information may come are required to inform themselves thereof and to observe such restrictions. Some figures included in this Presentation have been subject to rounding adjustments. By reviewing and/or attending this Presentation you acknowledge and agree to be bound by the foregoing.

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SLIDE 3

9.0 8.2 8.6 9М 2016 9М 2017 9М 2018 9 10 10 10 7 9 11 30 27 24 27 31 30 26 27 28 81 81 33 37 41 40 33 35 39 111 108 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 9M 2017 9M 2018

MARKET OVERVIEW

3

  • In Q3 and 9M 2018, output decreased by 4% and 3% y-o-y respectively,

mostly driven by ALROSA, elsewhere output remained flat

  • Q3 midstream inventories dropped to a multi-year lows mainly on

destocking of small stones

  • 9M global diamond sales in USD increased 4% on demand recovery and

stronger prices Decrease in global diamond output, 9M 2018

m carats

Note: data based on results of ALROSA and other diamond producers with a market share totalling c. 74% in 2015-2017

Major producers’ diamond sales were 4% up on demand recovery

$ bn

Source: Company data

41.5 39.5 41.3 42.6 42.7 40.3 41.0 41.8 40.1 Q4 2014 Q4 2015 Q4 2016 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 +4% Other ALROSA

Note: ALROSA, De Beers, Catoca, Petra Diamonds, Mountain Province, Stornoway Diamond Note: ALROSA, De Beers, Rio Tinto, Catoca, Petra Diamonds, Dominion Diamond (Diavik), Stornoway Diamond

Low inventories of rough & polished diamonds at midstream

$ bn

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SLIDE 4

5.8 5.2 3.5 6.6 5.3 4.1 3.8 14.5 13.1 2.9 3.3 3.1 2.0 2.1 7.5 5.1 1.9 5.4 2,3 5,8 7.6 8.2

8.9 10.4 10.3 10.1 7.4 8.5 10.5 29.5 26.4 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 9М 2017 9М 2018 6.1 10.1 15.7 7.3 5.7 10.1 17.2 31.9 33.0 1.46 1.03 0.65 1.39 1.30 0.84 0.61 0.93 0.80 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 9М 2017 9М 2018

PRODUCTION

4

Source: Company data

  • In Q3 2018, the volume of processed ore and gravels grew by 70% q-o-q

(up 10% y-o-y) to 17.2 m tonnes, due to a seasonal return to production at alluvial deposits (up 7.9 m tonnes)

  • Average grade was down by 28% q-o-q (down 7% y-o-y) to 0.61 carat

per tonne due to a seasonal return to production at alluvial deposits.

  • A yoy decline was due to lack of Mir mine volumes, and growth in output

at lower grade mines (e.g. Nyurbinskaya pipe).

  • Diamond production was up 23% q-o-q (2% y-o-y) to 10.5 m carats due

to seasonal growth of production at alluvial deposits by 3.5 m carats. On top of that, the Nyurba Division’s deposits increased ore processing, and recently launched Udachny underground mine and Severalmaz gradually ramped up their production to design capacity Ore and sands processing

m tonnes

Diamond production

m carats

50% 19% 31% 36% 9% 55% Share Share

Grade, ct/t Underground Open-pit Alluvial

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SLIDE 5

1,289 1,114 823 859 1,556 1,034 933 3,226 3,523 20 18 25 21 26 23 16 63 65

1,309 1,132 848 881 1,582 1,057 949 3,289 3,588 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 9M 2017 9M 2018

11.0 8.0 4.9 6.2 10.1 6.3 4.7 23.9 21.1 3.0 2.2 2.7 3.3 3.2 2.7 2.0 7.8 8.0

14.1 10.2 7.5 9.4 13.4 9.0 6.7 31.8 29.1 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 9M 2017 9M 2018

ALROSA SALES

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Source: Company data

Q3 2018

  • Q3 diamond sales down by 2.3 m cts (26% q-o-q) to 6.7 m cts mainly due

to a drop in sales of small-size diamonds. This factor was behind a 11% y-

  • -y sales decrease

9M 2018

  • 9M sales in carats were down by 9%, while
  • … sales in value terms rose by 9% to $3.6 bn on the back of stronger

prices and improved mix of gem-quality diamonds as sales of +10.2 and +2 carats stones grew Diamond sales

m carats

Increase in diamond sales by value, 9M 2018

$ m

Industrial quality diamonds Gem-quality diamonds Industrial quality diamonds Gem-quality diamonds

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SLIDE 6

INVENTORIES AND PRICES

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  • By the end of Q3 2018, inventories were up 42% q-o-q (down 11% y-o-y)

to 15.5 m cts, driven by a seasonal increase in production at alluvial deposits and decline in small-size diamond sales in Q3 2018

  • Q3 average selling price for gem-quality grew by 22% q-o-q to $199/ct,

driven by index price growth and better product mix (sales of stones of +10.8 and +2 cts size grew)

  • The price index was up 5.2% (on a like-for-like basis) year-to-date on

demand recovery and lower stocks at the customers. ALROSA's gem-quality diamond prices and price indices

$/carat

Source: Company data

ALROSA's diamond inventories were seasonally up

m carats

14.3 17.5 18.2 12.3 11.0 15.5 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 192 192 143 165 126 169 139 164 199 1.00 0.93 0.91 0.96 0.94 0.99 0.99

Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018

Price index for gem-quality diamonds Average selling price for gem-quality diamonds, $/ct

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SLIDE 7

FINANCIAL HIGHLIGHTS

7

Source: Company data

Q3 2018:

  • Revenue came in at RUB70 bn (down 3% q-o-q) as sales in carats

decreased (down 26% q-o-q)

  • 19% y-o-y growth was driven by stronger pricing and a better sales mix
  • EBITDA stood at RUB40 bn (down 3% q-o-q), rising by 47% y-o-y on

better mix, cost control and weaker RUB

  • EBITDA margin remained flat q-o-q at 57%, up 11 p.p. y-o-y
  • Net income stood at RUB24.2 bn (down 5% q-o-q, up 87% y-o-y)
  • FCF increased by 13% q-o-q to RUB23.6 bn (+2.0x y-o-y)

9M 2018:

  • Revenue grew by 11% to RUB238 bn on stronger pricing and a better

sales mix, offsetting a 9% drop in sales (incl. 12% of gem-quality)

  • EBITDA hiked by 29% to RUB129 bn supported by a stronger revenue and

lower production costs

  • EBITDA margin climbed 7 p.p. to 54%
  • Leverage slimmed down with Net debt / EBITDA standing at 0.2х
  • Net income increased by 33% to RUB82.5 bn
  • FCF grew by 38% to RUB85.7 bn

Margins continue to expand

RUB bn

85 71 59 61 96 72 70 214 238 35 38 27 27 48 41 40 100 129 41% 53% 46% 44% 50% 57% 57% 47% 54% Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 9М 2017 9М 2018

1.9x 1.9x 1.7x 0.5x 0.7x 0.2x

2013 2014 2015 2016 2017 30.09.2018 Revenue EBITDA EBITDA margin

Leverage trends down

Net debt / EBITDA

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SLIDE 8

1.34 1.17 1.33 1.23 1.18 1.39 1.28 1.26

Q1 2017 Q2 2017 Q3 2017 Q1 2018 Q2 2018 Q3 2018 9M 2017 9M 2018

32.5 30.5 9.3 10.2 9.5 8.5 7.3 7.5 11.0 11.1 10.5 10.7 11.1 10.7 16.7 14.9 6.5 5.2

114.5 109.2

9M 2017 9M 2018

Exploration costs Mineral Extraction Tax (MET) SG&A expenses Movement of diamond inventory, ore and sands Other Services and transportation Materials costs Fuel and energy Wages, salaries and other staff costs

COSTS CHANGES AND BREAKDOWN

Note: * costs – production costs + selling, general and administrative expenses + other operating income and expenses

  • Q3 unit costs increased by 18% to RUB1,390 per cu m mainly due to

decreased volume of run-of-mine ore

  • In 9M 2018, the Company’s costs* went down by 5%, to RUB109 bn

Key drivers:

  • reduction of sales in carats by 9%
  • down RUB2.1 bn: reduced staff costs largely due to a streamlined

headcount

  • down RUB1.8 bn: lower MET due to a decline in diamond production and

prices and mix changes (RUB1.1 bn of impact) and sale of gas assets (RUB1.2 bn of impact)

  • down

RUB1.4 bn: reduced exploration costs due to exploration restructuring (RUB0.6 bn of impact) and sale of gas assets

  • down RUB1.0 bn: lower materials costs due to reduction of Mirny

Division’ expenses and transfer of Almazy Anabara’ expenses to Q4 2018

  • down

RUB0.5 bn: lower SG&A expenses reflecting a reduced administrative payroll

Per unit costs

RUB '000 / cu m

8

Total operating costs

RUB bn

(5%)

Non-production costs Production costs

Source: Company data

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SLIDE 9

PROFITABILITY ANALYSIS

9

Source: Company data

Q3 2018 EBITDA declined to RUB40.0 bn (down 3% q-o-q) driven by:

  • (-) carat sales down 26% q-o-q due to a drop in sales of small-size diamonds
  • (+) improved sales mix and prices
  • (+) FX rate impact
  • (+) changes in diamond and ore inventories

9M EBITDA was up by 29% to RUB129.1 bn driven by:

  • (-) 9% reduction in carat sales, including lower sales of gem-quality

diamonds (down 12%)

  • (+) changes in the sales mix and stronger prices
  • (+) FX rate impact
  • (+) lower costs

Q3 EBITDA – key drivers

RUB bn

9M EBITDA – key drivers

RUB bn

Note: “Other” mainly includes changes in diamond and ore inventories, lower tariffs and higher electricity subsidies

41.3 40.0 9.1 1.5 (17.5) 3.7 0.3 1.5

EBITDA Q2 2018 Сhanges in sales mix Сhanges in pricing Changes in sales volume Rouble devaluation Payroll reduction Other* EBITDA Q3 2018

100.0 129.1 34.7 4.9 (21.8) 8.9 1.3 1.2

EBITDA 9М 2017 Сhanges in the sales mix Сhanges in pricing Changes in sales volume Rouble devaluation Payroll reduction Other* EBITDA 9М 2018

Note: “Other” mainly includes changes in diamond and ore inventories

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SLIDE 10

CAPEX

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  • In Q3 2018, capex was up 22% q-o-q to RUB8.8 bn driven by larger

expansion capex (up RUB1.6 bn):

  • the Verkhne-Munskoye deposit (up RUB2.2 bn)
  • the Udachny underground mine (down RUB0.6 bn)
  • the Zarya pipe (down RUB0.4 bn)
  • In Q3, capex was up RUB1.8 bn y-o-y due to the mining capex cycle
  • 9M: Capex was up 13% to RUB21 bn as the Verkhne-Munskoye deposit

capex cycle peaked in 2018 Capex

RUB bn

Capex to stabilize

RUB bn

Source: Company data

5.8 5.6 7.0 8.5 4.8 7.2 8.8 18.4 20.8 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 9М 2017 9М 2018

26.5 25.6 25.7 23.4 20.5 18,1 5.1 2.6 1.5 0.2 6.6 7.9 6.5 5.1 2.7 1.7 0.5 3.3 3.7 8.3

38.2 36.1 34.2 31.8 26.9 28.3 2013 2014 2015 2016 2017 2018E Other Verkhne-Munskoye Severalmaz Udachny UG mine

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SLIDE 11

85.7 106.4 129.1 (20.8) (3.3) (25.0) 5.7

40 21 18 20 46 28 32 80 106 6 6 7 9 5 7 9 18 21 35 16 12 12 41 21 24 62 86 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 9М 2017 9М 2018

FREE CASH FLOW ANALYSIS

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  • Q3 FCF increased by 13% q-o-q (up 2.0x y-o-y) to RUB23.6 bn driven by:
  • Resilient profitability on price growth, mix improvement and FX
  • Net working capital build-up on seasonality offset by insurance proceeds
  • Seasonal growth in capex
  • 9M FCF grew 38% y-o-y to RUB85.7 bn driven by
  • Growth in profitability
  • Working capital release of RUB5.7 bn on sales on destocking
  • Limited growth in capex

Notes: (1) OCF – operating cash flow; (2) FCF – free cash flow is, defined as OCF net of capex in the core business

Free cash flow bridge

RUB bn EBITDA Changes in net working capital* Income tax Other Operating cash flow Capex Free cash flow

Operating cash flow and capex

RUB bn 23.6 32.4 40.0 (8.8) (0.8) (5.8) (1.0)

9M 2018 Q3 2018

OCF Capex FCF

Notes: * Changes in working capital include change in insurance reimbursement (+RUB6.3 bn in Q3 and +RUB7.6 bn in 9M) “Other” mainly includes pension plan contribution and FX Source: Company data

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SLIDE 12

DEBT POSITION

12

Source: Company data

  • Total debt amounted to $1.3 bn, down $310 m year-to-date
  • Liquidity decreased by 18% q-o-q to $0.75 bn mainly due to 2017

dividends of RUB38.6 bn payment

  • Net debt / EBITDA reduced to 0.2x vs 0.7x earlier this year on the back
  • f robust FCF
  • Active debt management drove interest payment 50% down (year-on-

year) Debt profile changes

$ m

Liquidity position

$ m

4,217 3,496 3,057 2,344 1,621 1,311 3,951 3,119 2,781 1,374 1,494 558

1.9x 1.9x 1.7x 0.5x 0.7x 0.2x 2013 2014 2015 2016 2017 30.09.2018

Debt repayment schedule

$ m

343 954 6 6 2 2018 2019 2020 2021 2022 2023 Eurobonds Bank loans

753 3,121 3,874

30.09.2018

9.8 10.6 13.1 12.5 10.4 4.2

2013 2014 2015 2016 2017 9M 2018

Changes in interest on loans and borrowings

RUB bn

Credit lines Cash and equivalents Total debt Net debt Net debt / EBITDA (RUB)

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SLIDE 13

NET DEBT CHANGE

13

37 (24) 6 86 (0.3) 13 38 4 2 10 (30) (62)

Net debt bridge

RUB bn

  • In Q3, net debt increased from RUB6.0 bn to RUB36.6 bn q-o-q

Drivers:

  • Dividend payment – RUB38 bn
  • Purchase of shares of ALROSA-Nyurba
  • 9M: Net debt was down 59% due to strong FCF and use of cash

proceeds from disposals (RUB30 bn) to pay-down debt

  • To set up its stock option plan, ALROSA bought back 156.1 m shares year-

to-date (2.1% of the authorised capital)

Net debt as at 31 December 2017 Free cash flow in H1 2018 Sale of gas assets Acquisition of quasi- treasury shares Other Net debt as at 30 June 2018 Free cash flow in Q3 2018 Acquisition of quasi- treasury shares Dividends paid Purchase of shares of ALROSA-Nyurba Other Net debt as at 30 September 2018

Source: Company data

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SLIDE 14

10.8 10.8 15.4 65.8 38.6 43.7 1.47 1.47 2.09 8.93 5.24 5.93 2013 2014 2015 2016 2017 6М 2018 50% 35% 50% 50% 50% 75% 70% 26% 37% 59% 52% 70% 2013 2014 2015 2016 2017 6М 2018 Minimum level of dividends based on IFRS net income (new dividend policy) Payment ratio based on IFRS net income Payment ratio based on FCF

NEW DIVIDEND POLICY

14

Source: Company data

  • In August 2018, ALROSA’s Supervisory Board approved an updated

dividend policy:

  • free cash flow as the basis
  • payments twice a year
  • minimum payout at 50% of IFRS net income
  • Dividend payout estimate under the new policy:

❶ Net debt / EBITDA < 0.0 – over 100% FCF ❷ 0.0 < Net debt / EBITDA < 1.0 – 70-100% FCF ❸ 1.0 < Net debt / EBITDA < 1.5 – 50-70% FCF

  • Based on the Company’s performance in 6M 2018, the General Meeting
  • f Shareholders approved dividends of RUB5.93 per share (70% of free

cash flow) Dividend payout ratios Dividend payment

RUB bn

RUB per share

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SLIDE 15

OUTLOOK

15

Market outlook

  • Diamond jewellery demand remains healthy, while softer currencies will start being a drag
  • Mid-stream stocks are expected to remain low due to FX volatility and rising financing costs for polishers

Operating performance

  • 2018 full-year sales outlook is revised downwards to 37-38 m cts on lower demand for small stones
  • 2018 production outlook remains unchanged at 36.6 m cts
  • In Q4 2018, output is expected to grow on ramp-up at the Udachny underground mine and Severalmaz
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SLIDE 16

APPENDIX

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SLIDE 17

Udachny underground mine Verkhne-Munskoye deposit (open-pit mining) Mayskaya pipe (open-pit mining) Production start 2014 2018 2025 Expected design capacity 2020 2019 2027 Expected life of mine 2040 2042 2039 Investment start date 2002 2015 2018 Total capex, RUB bn 63.9 63.0 14.4 Total capex invested, RUB bn 52.8 (81%) 16.2 (26%) 0.03 (0.2%) Target ore output, m tonnes pa 4.0 3.0 0.3 Diamond production, m carats pa 4.9 (2019F) 1.8 (2019F) 0.8 (2027F) Average grade, carats per tonne 1.52 (2019F) 0.6 (2019F) 2.87 (2027F) Total resources, m carats 212.6 38.4 13.9

KEY INVESTMENTS PROJECTS

17

Source: Company data

Udachnaya pipe Verkhne-Munskoye deposit

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SLIDE 18

5.2 5.4 8.1 7.5 2.8 2.7 5.9 2.8 5.7 5.5 1.9 2.6 29.5 26.4

9М 2017 9М 2018 Severalmaz Nyurba Division Mirny Division Udachny Division Aikhal Division Almazy Anabara and Nizhne-Lenskoye

DIAMOND PRODUCTION BY ASSETS

18

Source: Company data

  • Key drivers of diamond production decline in 9M 2018 (down 11%):
  • shut-down of the Mir underground mine
  • reduction in processing at the Udachnaya and Aikhal pipes
  • lower grade at the Nyurbinskaya and Botuobinskaya pipes
  • Drivers affecting 9M 2018 performance:
  • Severalmaz – output was up 41% y-o-y due to the processing plant

gradually ramping up

  • Nyurba Division – output was down 4% y-o-y due to a lower grade and

processing throughput at the Botuobinskaya pipe

  • Mirny Division – output was down 53% y-o-y due to discontinued
  • perations at the Mir pipe and a lower grade at the International pipe
  • Udachny Division – output was down 6% y-o-y due to the termination of
  • pen pit mining at the Udachnaya pipe and reduced average grade at the

Zarnitsa pipe

  • Aikhal Division – output was down 8% y-o-y due to lower-grade ore from

the Jubilee pipe coming on-stream

  • Almazy Anabara and Nizhne-Lenskoye – output was up 4% y-o-y due to

higher processing throughput of sands

Diamond output

m carats

  • 11%

+41%

  • 4%
  • 53%
  • 6%
  • 8%

+4%

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SLIDE 19

FX RATE

19

Source: Company data

  • ALROSA is an exporter with 93% of revenue denominated in USD
  • Major portion (84%) of costs and capex is denominated in RUB
  • 94% of the Company’s debt portfolio is denominated in USD to create a

natural hedge against FX risks

  • ALROSA's financial sensitivity analysis shows that a change in the USD

exchange rate by +/- 1 RUB/USD leads to the following change in metrics:

  • revenue – +/-1.51%
  • cost of sales – +/-0.24%
  • EBITDA – +/-2.61%
  • capex – +/-0.22%

Financial metrics breakdown by currency (9M 2018)

% of metric's total

93% 16% 14% 76% 94% 7% 84% 86% 23% 6% Revenue Cost of sales Capex Cash and cash equivalents Total debt RUB USD

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SLIDE 20

COST CHANGE AND BREAKDOWN BY QUARTER

20

Source: Company data

Costs structure by category

RUB bn

  • The Company’s costs in Q3 2018 went down from RUB31 bn to

RUB30 bn (down 3% y-o-y) mainly due to increase of diamond inventories and lower exploration expenses

10.6 10.7 10.3 10.0 3.5 1.8 3.5 3.4 3.0 3.6 2.5 3.6 2.2 2.8 2.6 2.7 2.6 5.0 4.0 3.6 4.2 3.1 3.5 4.0 5.2 5.6 4.3 5.0 2.3 1.9 1.5 1.5

33.1 31.8 30.9 30.1

Q2 2017 Q3 2017 Q2 2018 Q3 2018 Exploration Mineral extraction tax (MET) Selling, general and administrative expenses (SG&A) Movement of diamond inventory,

  • re and sands

Other Services and transport Materials Fuel and energy Payroll and employee benefits

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SLIDE 21

THANK YOU!

M: +7 985 760 55 74 E: st@alrosa.ru Head of Corporate Finance Sergey Takhiev Moscow, Russia 115184 24 Ozerkovskaya emb.