Moscow, 31 March 2023 – Segezha Group (MOEX: SGZH, owned by AFK Sistema), Russia's leading vertically integrated wood and paper holding company carrying out a full cycle of logging and advanced wood processing, announces its consolidated audited IFRS financial results and operating results for the 12 months of 2022.

 ·         Revenue was up 15% year-on-year (yoy) to RUB 106.8 bn, driven mostly by the consolidation of the assets of NLHK and Inter Forest Rus (IFR), which became part of the Group in Q3 and Q4 2021, respectively;

·         OIBDA amounted to RUB 24.7 bn, down by 16% yoy, on the back of the necessary refocus on alternative target markets, price inflation for a number of production components, as well as considerable growth of logistics costs;

·         OIBDA margin came in at 23%;

·         Net profit was RUB 6.1 bn, down 60% yoy following a reduction in operating profit and a growth in interest expense;

·         Net debt as of 31 December 2022 was RUB 101.0 bn, almost flat vs 30 September 2022;

·         ÑÀÐÅÕ declined by 56% yoy to RUB 10.2 bn after the investment programme was adjusted to reflect high levels of macroeconomic uncertainty.

^[1] Net debt is shown as of 31 December 2022 and 30 September 2022.