DUBAI: Interpipe Limited, a major global producer of steel pipes and railway wheels, announce its key financial results for 2007, reporting a growth in revenue and net profit by 24.3 percent and 18 percent, respectively. Revenue reached $1.8 million in 2007, up from 1.4 million the previous year. Net profit increased to $256 million, up from $217 million. The results can be attributed to a growth in volumes and average prices of pipe and wheel products, the company said in a statement, as well as a strong demand for Interpipe's products, especially from the global oil and gas industry in markets such as the Middle East and North Africa (MENA). Earnings before interest, taxes, depreciation and amortization increased by 16.8 percent in 2007, "resulted from effective product portfolio management despite the cost increase of raw materials, said the company. Overall production of pipes and wheels grew by 2.4 percent to 1,472 thousand tons from 1,438 thousand tons in 2006. Alexander Kirichko, Interpipe's chief executive officer, said, "Over the past 12 months, Interpipe has significantly increased its revenue while also continuing to implement the company's investment program and strategic initiatives. "In 2007, we activated a contract with Danieli for the construction of an electric arc furnace steel mill which will allow us to further increase our vertical integration. In addition, we also continued the transformation of Interpipe into a transparent, internationally recognized company, which was well received by the international financial community during the placement of our initial Eurobond. The annual results clearly illustrate the company's ability to effectively respond to a volatile market. Interpipe is the second largest producer of forged railway wheels in the world with total revenue of $1.8 billion in 2007. It is an export-oriented company with 71 percent of its revenues derived from export sales in 2007 supplying products to 76 countries in the world.
