SCM reports 2014 pre-tax loss of $1.84 bln
System Capital Management (SCM) Group's consolidated pre-tax loss in 2014 was $1.84 billion, whereas the Group made profit of $1.205 billion in 2013, SCM reported in a statement on Tuesday.
"For the first time in a long period the Group has ended the financial year not with profit but with a loss of $1.84 billion. Such a performance results from a general slowdown of the Ukrainian economy and the current hostilities in the country," SCM CEO Oleg Popov said while commenting on financial and non-financial performance in 2014.
The group's gross revenue in 2014 was $18.457 billion against $24.465 billion in 2013; its income tax expenses stood at $0.181 billion against $0.650 billion in 2013.
Taxes and duties paid by SCM Group to the national and local budgets (including the Pension Fund) amounted to UAH 32.4 billion (UAH 28 billion in 2013).
"Although the year of 2014 was extremely hard for the society and the economy of the country, the SCM Group paid a record amount of UAH 32.4 billion in taxes to the national and local budgets and non-budgetary funds. We also paid, in full and on time, salaries that are higher than the national average, and made capital and social investments," Popov said.
The average salary across the group totaled UAH 5,900 which exceeds the average salary in Ukraine by more than 70%, according to the State Statistics Service (UAH 3,480).
Social investments amounted to UAH 6.6 billion (UAH 6 billion in 2013) including health and safety and environment investments worth UAH 5.8 billion.
System Capital Management (SCM) is a professional investor, the managing company of the biggest Ukrainian financial and industrial group focusing on three business areas: mining and metals, energy and finance. The company also operates in other sectors including telecommunications, media, real estate, grocery retail, production of mineral resources, petroleum products retail, agriculture, heavy engineering and transportation.
SCM Group includes Metinvest Holding, DTEK, First Ukrainian International Bank, ASKA and ASKA-Life insurance companies, Ukrtelecom, Vega Telecommunications Group, Media Group Ukraine, ESTA Holding (real estate), Ukrainskiy Retail (grocery retail), UMG (production of mineral resources), Parallel (petroleum products retail), HarvEast (agriculture), Corum Group (heavy engineering), Portinvest transportation holding and others.
SCM is fully owned by businessman Rinat Akhmetov.