VSMPO-Avisma, based in Verkhnyaya Salda, Russia, reported a 32% decrease in net profit under IFRS for 2024, totaling more than 16.85 billion rubles (about $182 million USD). This marks a notable decline from the 24.85 billion rubles (about $269 million USD) recorded in 2023. The company’s revenue also fell by 2.4% to 118.55 billion rubles (about $1.28 billion USD), according to its latest financial report.
The cost of sales dropped by 3.5% to 73.47 billion rubles (about $793 million USD), while gross profit slipped by 0.5% to 45 billion rubles (about $486 million USD). Operating profit saw a sharper decline, falling 22.3% to 18.88 billion rubles (about $204 million USD). The company’s financial performance reflects ongoing challenges in the global titanium market, as well as the impact of shifting demand and supply chain disruptions in key sectors such as aerospace, energy, and shipbuilding.
VSMPO-Avisma remains a major player in the global high-tech titanium industry, supplying products for aerospace, oil and gas, power engineering, medicine, and construction. The corporation is the world’s largest producer of titanium and maintains a vertically integrated structure, managing the full cycle from raw material processing to finished titanium products. Its client base includes over 450 companies in 50 countries, and its products are essential for manufacturing aircraft components, industrial equipment, and medical devices. The company holds a leading position in the international titanium market, with a strong presence in aerospace and other high-tech industries.
Despite its global reach, VSMPO-Avisma has faced recent setbacks due to the suspension of contracts with major international aerospace firms following geopolitical developments in 2022. This shift has contributed to the pressure on revenue and profitability, as the company adjusts to changes in export markets and demand.
