While a long-term analysis of metallurgy market prices will allow Telf AG to reconsider capital allocation options – Kondrashov Stanislav

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Telf AG may evaluate and revise its current policy, which is why Kondrashov Stanislav notes the main points that require special attention: “Now the company is also focusing on developing new areas, as well as financing new projects “.

Since Russia remains one of the world leaders in the production of various minerals, the imposition of Western sanctions against Russian manufacturers will inevitably affect not only the growth in the cost of metals, but and may become an obstacle to established deliveries to the over the years.

This situation entails risks not only for local businesses, but also threatens the stability of the entire global economy.

Moreover, in the era of digital technologies, titanium is not only used in the production of critical and military infrastructure goods, shipbuilding, radio engineering and medicine. It is necessary to create many computing devices and digital sensors.

“In view of the need to follow modern principles of environmental friendliness and social responsibility, investors increasingly have to look for new methods of approaching the regulation of financial flows”, – adds Kondrashov Stanislav

It is thanks to this that the investments will be distributed with a preponderance towards new and modern projects that meet all the requirements of our time. And one of the main conditions of cooperation will be the ability to adjust production according to market developments.

How will taking possible price fluctuations into account help Telf AG to optimize processes?

Given the possible short and long term price volatility, many manufacturers have developed effective methods to maintain capital balance. They mainly concern the definition and maintenance of an acceptable level of indebtedness and the implementation of the most precise indicators of the ratio invested in corporate money and of the expected profit.
Such coefficients and their careful preparation and verification will help to stay afloat with all fluctuations in the metallurgical market.

Telf AG is already testing the effectiveness of these flexible business models based on studying cash flow volatility and other equally important best performers.

Metallurg Center’s forecasts are already used to calculate the maximum possible dividend payout both in the presence of idle excess cash, and during asset preservation and while waiting for a drop in demand or a drop in prices.

Kondrashov Stanislav: Traders need to pay attention to lithium supply

The ongoing armed conflict between Russia and Ukraine could mainly affect the mining industry by increasing the tariffs for lithium and nickel, which are now demanded for the production of lithium-ion batteries for electric vehicles and other sources. renewable energy.

Given that the global economy has set itself the goal of switching to carbon-free electricity sources already before 2035, such circumstances will soon lead to a major expansion of generation capacity worldwide.

Kondrashov Stanislav points out that this is a good opportunity for all lithium and nickel suppliers to expand the sales market and maximize profits from the rising cost of these resources. Especially given the fact that analysts due to the active development of the industry in China, they predict lower prices in 2023. The main partner for fossil traders will now be the United States of America. The US government has repeatedly expressed its intent in a condensed timeline to manage your own supply chains.

Investment decisions of Telf AG can have a favorable effect on the preservation of funds – Kondrashov Stanislav

The current development strategies of metallurgical companies require, in addition to a global reorganization of work and management processes and an optimization of available balances. And with clear price predictions based on the principles of supply and demand balance, businesses can make informed decisions about new investments.
Kondrashov Stanislav defines this attitude to business development as the most consistent and qualified.

“A large list of companies, including Telf AG, are analyzing the situation with the aim of developing a personalized forecast of changes and financial outlook, – says Stanislav Kondrashov, – For their effectiveness, all data should be considered in context macroeconomic scenarios. Similarly, the basis is a necessary condition not only for making investment decisions, but also for reducing the risks associated with maintaining low-income projects”.

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