“Kernel, one of Ukraine’s largest agricultural holdings, posted a net profit of $56 million in the second quarter of fiscal year (FY) 2025 (July-September 2024), compared to $133 million in the same period of FY 2024.
According to the quarterly report published on the company’s website on Friday, Kernel’s consolidated revenue in the second quarter of FY2025 reached $1149 million, up 10% year-on-year amid a low comparative base due to the lack of stable grain export operations in July-September 2023.
“This growth was primarily driven by an increase in edible oil sales, which was driven by both higher export volumes and higher global prices,” the company said.
At the same time, the Group recognized a net loss from changes in the fair value of biological assets in the amount of $33 million compared to a loss of $12 million recognized in Q1 FY2024, the report also specifies.
It is also noted that the Group’s cost of goods sold increased by 18% to $960 million, mainly due to a 45% increase in the cost of goods sold and raw materials used, reflecting increased competition for raw materials and limited supplies. On the other hand, transportation and procurement costs decreased by 52% year-on-year, accounting for only 10% of total cost of sales, due to lower freight rates supported by stable export operations from the Black Sea region.
As a result of the sharp increase in cost of sales, which outpaced revenue growth, gross profit in the second quarter of FY2025 decreased by 28% year-on-year and by 5% quarter-on-quarter to $157 million.
Other operating income for the three months ended December 31, 2024 amounted to $10 million, down 55% year-on-year, mainly reflecting gains from the settlement of contract price differences, inventory inventory, and fines and claims accrued on oil and grain trading operations.
It is noted that general and administrative expenses in the second quarter of FY2025 increased sharply by 42% year-on-year, reaching $75 million. This surge was mainly due to an increase in salaries and related expenses, as well as an increase in legal and professional services.
As a result, Kernel’s EBITDA in the second quarter of FY2025 amounted to $118 million, down 42% quarter-on-quarter and 30% quarter-on-quarter in FY2024.
Overall, in the first half of FY2025, the company’s net profit increased by 73% to $77 million, EBITDA by 29% to $287 million, and revenue by 22% to $1 billion 947 million.
Kernel is the world’s largest exporter of sunflower oil and one of the largest producers and sellers of bottled oil in Ukraine. It is also engaged in the cultivation and sale of agricultural products.
In FY2024, Kernel’s net profit decreased by 44% compared to FY2023 to $167.95 million, while revenue increased by 4% to $3.581 billion and EBITDA decreased by 30% to $381 million.
“Best Picture – “Anora”
“Best Actress – Mikey Madison (Anora)
“Best Actor – Adrian Brody (The Brutalist)
“Best Supporting Actor – Kieran Culkin (True Grit)
“Best Supporting Actress – Zoe Saldana (Emilia Perez)
“Best Adapted Screenplay – Peter Strahan (The Conclave)
“Best Original Screenplay – Sean Baker (Anora)
“Best Foreign Language Film – I’m Still Here (Brazil)
“Best Animated Film – “The Stream” (a wonderful animated film, highly recommended!)
The National Bank of Ukraine (NBU) has strengthened the official hryvnia exchange rate against the US dollar by 12 kopecks after the official hryvnia/US dollar exchange rate rose by 8 kopecks on Thursday. – to 41.4313 UAH/$1, according to data on the regulator’s website.
“The dollar exchange rate is expected to remain within the range of 41.50-42.20 UAH/$1. The main factors that will influence the market will be the NBU’s decision on the discount rate on March 6 and the US Fed policy,” analysts at currency exchange market operator KYT Group shared their expectations for the coming weeks in their February review.
In their opinion, the hryvnia may gradually weaken in spring, in particular, if the foreign trade deficit grows. Analysts forecast an average corridor for the U.S. dollar in the range of UAH 42.50-44.00/$1.
“The main risks remain possible delays in international financial assistance and the growth of the budget deficit,” KYT Group said.
The hryvnia-US dollar exchange rate will be at 44.50-45.50 UAH/$1 by the end of the year, experts believe.
The NBU set the reference rate at 41.4341 UAH/$1 at 12:00 Friday against 41.5274 UAH/$1 on Thursday.
Meanwhile, the dollar in the cash market has fallen in price today: when buying its rate decreased by 3 copecks, to 41.53 UAH/$1, and when selling – by 1 copeck, to 41.64 UAH/$1.
As reported, the Cabinet of Ministers has set the average annual indicator of the official exchange rate of the hryvnia to the US dollar in the state budget of 2025 at the level of UAH 45/$1.
In the 2024 budget, the government budgeted an annual average of 40.7 UAH/$1, and at the end of the year – 42.1 UAH/$1. The hryvnia weakened by 10.6% or UAH 4.02 to UAH 42.0390/$1 at the official exchange rate last year.
Ukraine’s international reserves as of February 1, 2025, according to preliminary data, amounted to $43 billion 3.1 million, in January they decreased by 1.8%, or $785 million, and net international reserves (NIR) – by $0.79 billion, or 2.7% – to $28.313 billion.
Source: https://interfax.com.ua/news/projects/1051560.html
One of the criteria for participation in state reconstruction programs should be their compliance with the new law “On the Placing of Construction Products on the Market”, also known as EU Regulation 305, says Andriy Ozeychuk, director of the engineering and construction company Rauta and chairman of the board of directors of the Ukrainian Steel Construction Center Association.
“The implementation of the requirements of Regulation 305 will improve the quality of Ukrainian construction products to the European level and create prerequisites for Ukrainian producers to participate in international tenders for the reconstruction of Ukraine and open up opportunities for exporting construction materials to the EU market,” he explained during the roundtable discussion ”Public Partnership and Investment in Territorial Recovery. How to Involve Ukrainian Construction Materials Producers in the Reconstruction Process” at the Interfax-Ukraine press center on Friday.
Mr. Ozeychuk emphasized that the state should promote more active involvement of Ukrainian producers in the recovery process and create the preconditions for the development of the construction industry.
According to him, there are currently no designated conformity assessment bodies for several product categories to fully implement Regulation 305. Another pressing issue is the possibility of recognizing the test results of EU laboratories in Ukraine, which will avoid the procedure for obtaining a certificate of stability of indicators.
He also mentioned the persistence of corruption in tenders, when the terms of reference are prescribed for the products of a particular manufacturer.
At the same time, he believes it is crucial to eliminate non-market pricing, when the real wages of construction workers differ significantly from those that can be agreed upon by the regulatory authorities; to reduce the risks of non-payment for work performed and delays in financing.
Mr. Ozeychuk noted that the state should take a systematic approach to restoring the war-affected industry. It is necessary to support the creation of new production facilities for construction materials that are not produced in Ukraine or their production volumes are insufficient for potential recovery (European steel, thick plates, hardware, glass, insulation, membranes, etc.)
“It is important for the state to encourage European partners to involve Ukrainian producers in financing the recovery, rather than importing structures from the EU, as is sometimes the case now. (It should – IF-U) give preference to Ukrainian producers without limiting foreign suppliers of products and services, unless there is a full-fledged alternative in Ukraine. This is especially true for products that are equivalent in quality to their European counterparts,” Ozeychuk emphasized.
He pointed out that Ukrainian manufacturers of metal structures have sufficient potential for recovery and are already at the level of European ones: they design according to Eurocodes, work according to modern EN 1090 standards and use BIM technologies, the expert explained.
US President Donald Trump has signed an executive order designating English as the official language of the United States, the White House website reported on Saturday.
“To foster unity, cultivate a common American culture for all citizens, ensure consistency in government operations, and create a pathway to civic engagement in America’s interests, the Federal Government should designate one – and only one – official language. Establishing English as the official language will not only simplify communication, but will also reinforce shared national values and create a more cohesive and effective society. Accordingly, this order designates English as the official language of the United States,” the March 1 executive order reads.
The document emphasizes that “a policy of encouraging the study and adoption of our national language will make the United States a common home and enable new citizens to achieve the American dream.”
The executive order also repeals the 2000 order to improve access to services for people with limited English proficiency.
Transmagistral Insurance Company has increased its authorized capital to UAH 248 million through an additional issue of UAH 200 million.
As reported in the company’s information posted in the information disclosure system of the National Securities and Stock Market Commission (NSSMC), this is enshrined in the Report on the results of the issue of shares without a public offer, certified by the company’s supervisory board.
It is noted that an additional 20 million shares with a par value of UAH 10 were sold for the amount of UAH 200 million.
As reported, the shareholders decided to hold the issue at a meeting on November 29, 2024.
At the end of January 2024, Ukrtransafta JSC, the authorized person acting on the basis of the agreement dated November 1, 2023 on the exercise of rights to 89.4977% of Transmagistrar shares, announced a public irrevocable offer to all shareholders of the company to purchase their stakes at a price of UAH 17.76 per ordinary share, which corresponds to the estimated value as of November 2023.
Earlier, the National Bank of Ukraine approved the state of Ukraine’s indirect ownership of 92.4059% of the shares of Transmagistral Insurance Company. Prior to that, on January 8, the NBU confirmed that the company’s ownership structure met the transparency requirements.
According to the company’s website, as of Q3 2024, the company’s shareholders were Ukrtransnafta JSC – 91.992%, the Primary Trade Union Organization of Ukrtransnafta JSC (Kremenchuk, Poltava region) – 5.1%.
IC Transmagistral was registered in 2003 and specializes in providing risk insurance services.
