PhosAgro called for an urgent introduction of strict quarantine in a number of Russian cities

PhosAgro announced dividends for the first quarter of 2021

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Reference Information:

• Company name: PJSC PhosAgro;
• Legal form of activity: public joint stock company;
• Type of activity: production of phosphorus-containing fertilizers, high-grade phosphate raw materials;
• Revenue for 2021: 187.7 billion rubles;
• Beneficiary: Andrey Guryev;
• Number of personnel: 17145 people;
• Company website: https://www.phosagro.ru/

PJSC PhosAgro is a vertically integrated domestic company that is known throughout the world as a leading producer of phosphate-containing fertilizers, some of the cleanest and safest in the world.

Having appeared after the 1998 crisis, in less than twenty years it has become a world leader in the production of high-grade apatite concentrate and a European leader in the production of phosphorus-containing fertilizers. Its products are used by agricultural producers in one hundred countries in Europe and Asia, the American and African continents.

The history of PhosAgro is direct confirmation of how correctly set priorities and assigned strategic goals allow us to achieve success and maintain leadership positions in such an unstable market.

Social programs

The company strives to promote sustainable social and economic development of those regions where the group's enterprises operate by implementing numerous social programs to support education.

All levels of education are united within a single platform: from preschool to higher professional. At the same time, graduates have the opportunity to apply their knowledge by getting a job at PhosAgro Classes.

The latter are created on the basis of the Drozd program. These classes provide in-depth knowledge of core academic subjects while also providing additional exposure to career planning, economics, management, ethics, and social responsibility. Here, the basics of corporate culture are taught, and at leading domestic universities, children are engaged in laboratory research work in physics and chemistry. Here thousands of children not only receive an excellent education and career guidance, but also play sports. Numerous sports projects allow young athletes to prepare for regional competitions in order to subsequently reach the level of Russian and European championships.

Today's day

The holding has a unique advantage - its own reserves of high-quality phosphate raw materials. It is characterized by a low content of harmful impurities. And the presence of flexible production capacities, low costs and a vertically integrated business model allow PhosAgro PJSC to provide agricultural producers in Russia and abroad with a wide range of mineral fertilizers.

“The technological flexibility of production lines allows us to quickly switch from producing one brand of fertilizer to another and quickly respond to changes in demand in high-margin market niches” (Sergey Sereda, First Deputy General Director of PhosAgro PJSC).

The presence of the group's own research and development unit makes it possible to master the production of new brands of fertilizers for agricultural crops, in accordance with market demands, in the shortest possible time. Today the company produces 35 brands of mineral fertilizers, including secondary elements (sulfur) and microelements (zinc and boron).

Trading companies that PhosAgro opens as part of its global export strategy help increase sales, ensure the holding’s presence in priority markets abroad, and allow it to respond in a timely manner to changes in demand.

The company's place in the industry

In its sector, PhosAgro remains one of the few companies that covers the entire technological chain - from the production of the main types of raw materials to the sales network for selling products to consumers. This allows us to keep production costs at a fairly low level - the lowest in the industry.

“We maintain a positive outlook regarding the prospects of PhosAgro (analytical note by Gazprombank).

Geography of presence

As part of the PhosAgro Group:

• JSC "Apatit" in Cherepovets (Vologda region) with branches in Kirovsk (Murmansk region) and Balakovo (Saratov region);
• JSC "Metakhim" (Leningrad region);
• PhosAgro-Trans LLC;
• PhosAgro-Region LLC;
• JSC "Research Institute for Fertilizers and Insectofungicides named after Professor Ya. V. Samoilov."

PhosAgro products are exported to more than 100 countries in Europe and Asia, South and North America, and Africa; they are known and appreciated all over the world. The company is present in the largest fertilizer markets and also has the ability to effectively manage risks, political and credit, that sometimes arise when conducting business abroad.

Rice. 1. PhosAgro on the world map. Source: company website

The Russian market remains a priority for the company. He has vast potential. The company made significant investments in the development of its own sales network in Russian territory, thanks to which it became the largest supplier of fertilizers in the country's agricultural market.

The company's resources allow us to fully cover all needs for raw materials (apatite concentrate) and ammonia. From Russian suppliers the company receives sulfur, potassium, natural gas, and the missing electricity (40% is provided on its own). So the company does not depend on the supply of imported raw materials.

PhosAgro has mastered foreign markets for a long time and successfully. Today it is one of the world's five largest producers of phosphate-containing fertilizers.

Rice. 2. The world's largest producers of phosphorus-containing fertilizers. Source: company website

The company continues to be active in the priority markets of Europe, Latin America and Asia. The demand there remains significant, but its own reserves of phosphate raw materials are insufficient.

Production figures

The company continues to intensively increase production volumes.

Rice. 3. Change in production and sales volumes of PhosAgro, million tons. Source: company website

This became possible thanks to the implementation of profitable investment programs, under which new production facilities are created and existing production facilities are modernized.
An equally important component of success was the optimization of management institutions and functions within, which was able to increase its competitiveness and strengthen its market position. The company is a responsible issuer, actively works to increase its transparency and strives to ensure maximum availability of information" (Sven Ombudstvedt, Chairman of the Board of Directors). Tab. 1. Sales of main types of products, thousand tons

Source: the site is able to grow and develop regardless of the phase of the economic cycle: the volume of products produced by our enterprises in 2021 increased by 8% compared to last year... At the same time, we continue to move forward towards our goals" (Andrey Guryev, CEO and Chairman of the Board of PhosAgro)

Rice. 4. Products of the agrochemical holding "PhosAgro". Source: website agbz.ru

The company considers among its most important strategic priorities:

• direct access to premium markets;
• increasing the degree of self-sufficiency in raw materials;
• expansion of production capacity;
• increasing operational efficiency.