Debt management
The Company uses a conservative approach to leverage and believes that a comfortable net debt/EBITDA ratio should be below 2х or even within the range of 1–1.5х in the long run. As at 31 December 2023, the Company’s leverage was comfortable, with the net debt/EBITDA ratio standing at 1.2x.
When determining its borrowing requirements, the Company assesses the cost of borrowing from banks and public debt markets, the amount and maturity available while striving to ensure that this fits into the Group’s long‑term debt reduction strategy. The choice of the currency of borrowings is based on the availability of currencies and the structure of the Company’s revenue, about 70% of which was in foreign currency in 2023.
In line with the investment policy designed to meet PhosAgro’s investor obligations and strengthen its investment case, the investment budget shall not exceed 50% of planned EBITDA.
The record high capital investments and charitable expenses in 2023 did not affect the Company’s leverage, which remained comfortably below the net debt/EBITDA target.
Eurobonds
| ISIN | XS2099039542 | XS2384719402 |
| Borrower | PJSC PhosAgro | PJSC PhosAgro |
| Issuer | PhosAgro Bond Funding Limited | PhosAgro Bond Funding Limited |
| Currency | USD | USD |
| Offering date | 23 January 2020 | 16 September 2021 |
| Maturity date | 23 January 2025 | 16 September 2028 |
| Issue value, USD mln | 500 | 500 |
| Including replacement bonds, USD mln | RU000A106G31 356.915 | RU000A106G56 383.470 |
RUB‑denominated exchange bonds
| ISIN | RU000A106516 |
| Issuer | PJSC PhosAgro |
| Currency | RUB |
| Offering date | 21 April 2023 |
| Maturity date | 17 April 2026 |
| Issue value, RUB mln | 20,000 |