Raspadskaya loss jumps 3.7-fold as coal production falls

Raspadskaya coal production declined sharply in 2026 as the Russian coking coal producer reported a substantial increase in losses and weaker financial results.

Raspadskaya, a Russian producer of coking coal and part of the Evraz group, saw its net loss under Russian Accounting Standards (RAS) rise 3.7-fold in January–September 2026, to 46.6 mio USD (+34.0 mio USD y-o-y). As results deteriorated, the rating agency ACRA downgraded the company’s credit rating to AA and kept a negative outlook, citing falling earnings and negative cash flow. ACRA expects that the situation is unlikely to improve by the end of 2026.

Raspadskaya’s revenue dropped to 99.5 mio USD (–47.3 mio USD, or –32.2%). Coal production and selling costs amounted to 147.5 mio USD (+4.2 mio USD, or +2.9%), so revenue no longer covered them.

Production also declined. In the first ten months of 2026, Raspadskaya mined 11.8 mio t of coal (–3.3 mio t, or –21.9% y-o-y).

Meanwhile, the company’s liabilities increased. By the end of September long-term liabilities stood at 26.7 mio USD (+2.5 mio USD, or +10.4% y-o-y), and short-term liabilities at 107.9 mio USD (+0.4 mio USD, or +0.3% y-o-y).

The outlook remains negative because the company’s financial results may recover slowly in 2027, given the price trend for its products. As a result, Raspadskaya may need to borrow. However, the company has low production costs and large coal reserves, and its debt burden remains low.

Raspadskaya is not the only one facing difficulties: the entire Russian coal industry is struggling, with 66% of companies still loss-making.

Source: CCA