Russia's largest microelectronics manufacturer has suffered losses due to a drop in orders
Russia's largest microelectronics manufacturer, the Element Group, ended last year with a significant decline in its financial performance.
This is reported by Russian media.
The company recorded a net loss of 2 billion rubles, whereas a year earlier it had posted a profit of 8.3 billion rubles. Revenue also declined—by 12%, to 38.6 billion rubles.
The sharpest decline was recorded in the key segment—electronics manufacturing—where revenue fell by 29%. The main reason cited is a reduction in orders from industrial enterprises, which are the company’s primary customers.
Against the backdrop of deteriorating financial results, bonuses for top management were cut by four times.
Group President Oleg Khazov noted: “In 2025, the Element Group faced a significant reduction in orders from industrial enterprises—the main consumers of our products… We are counting on a recovery in demand for electronic components alongside an increase in economic activity.”
As a reminder, Russia’s two largest automakers—KAMAZ and AvtoVAZ—have found themselves in a systemic crisis, which official rhetoric about the industry’s “resilience” no longer conceals.
Recently, the Russian company “New Cloud Technologies,” known under the brand name “MyOffice,” announced large-scale staff cuts amid significant financial losses.
As a reminder, the actual poverty rate in Russia may be significantly higher than official figures and approach 40% of the population.
