Ukrproduct Group, a major Ukrainian producer of packaged butter and processed cheese, reported a net loss of GBP0.19 million for the first half of 2025, compared to a net profit of GBP0.90 million for the same period in 2024.
“Financial expenses in the first half of 2025 increased by 35.6% to GBP0.5 million…, mainly due to the recognition and capitalization of deferred interest and fees related to the EBRD loan (approximately GBP2.1 million), with interest now accruing on a higher principal balance. Net foreign exchange losses increased to GBP0.9 million (H1 2024: GBP0.2 million) due to the depreciation of the Ukrainian hryvnia,” the company explained in a report to the London Stock Exchange on Tuesday.
As reported, in December 2024, the European Bank for Reconstruction and Development (EBRD) decided to exercise its right under the loan agreement and charged a commission of GBP2.0 million, which increased the company’s liabilities to the bank to GBP8.1 million.
The group’s gross profit for January-June increased by 2.8% to GBP3.53 million, while operating profit fell by 17.2% to GBP1.22 million and EBITDA by 18.3% to GBP1.5 million.
Ukrproduct Group’s revenue in hryvnia increased by 32.9% in the first half of the year, while in British pounds sterling, the increase was 21.6% to GBP20.23 million.
“Butter: Sales rose sharply to GBP 3.3 million (H1 2024 – GBP 1.3 million), mainly due to the expansion of exports of packaged butter. Domestic sales were deliberately reduced to avoid unprofitable deals, with sales in Ukraine limited to selected customers,” the company said.
According to the report, sales of processed cheese and cheese products increased by 4.7% to GBP11.2 million, spreads to GBP2.0 million from GBP1.7 million, mainly due to increased export volumes.
Sales of skimmed milk powder and skimmed milk products increased to GBP0.8 million from GBP0.5 million, reflecting strong demand in the EU at favorable prices. However, the possible abolition of duty-free and quota-free access under the EU’s Autonomous Trade Measures (and any revision of quotas) could significantly reduce future export volumes, Ukrproduct added.
According to the report, the sandwich spreads category remained stable, with sales of GBP0.6 million, while sales of kvass and beverages declined slightly to GBP1.0 million from GBP1.1 million. This reflects weaker demand for kvass due to the unusually cool summer, while kombucha sales are accelerating, benefiting from innovation and lifestyle-oriented positioning.
In addition, in the first half of 2025, Ukrproduct Group sold sunflower seeds worth GBP0.2 million, eight times more than last year, which allowed it to maintain profits in this segment despite lower market prices.
As noted, operating expenses increased by 13.5% to GBP 2.3 million, mainly due to higher payroll costs (inflation and labor shortages): labor turnover remains high, as younger workers move abroad or are unavailable due to mobilization and family dispersion, incentives must be provided to retain staff, increase training, and selective hiring. “Changes that allow men aged 18 to 22 to move abroad may further affect the availability of labor,” the report said.
As of June 30, 2025, Ukrproduct Group’s net assets had fallen to GBP1.6 million from GBP4.9 million a year ago, and cash balances to GBP0.1 million from GBP0.5 million. The company continues to violate a number of provisions of the loan agreement with the EBRD, including non-repayment of tranches A and B and late payment of interest since March 1, 2022, and discussions with the EBRD on the potential restructuring of the loan and accrued interest, which began in 2021, are ongoing. At present, the EBRD has not exercised its right to accelerate the repayment of the loan.
In assessing its prospects for the end of 2025, Ukrproduct assumes that the business environment will remain unstable due to the ongoing war in Ukraine and financial pressure. The company plans to optimize its product range towards value-added products, diversify its export destinations, and align production more closely with confirmed orders, as well as support the further development of recently launched products (varieties of kvass, kombucha, sandwich spreads).
“Liquidity remains limited and depends on disciplined working capital management and continued creditor tolerance while negotiations with the EBRD on restructuring are ongoing. We are limiting capital expenditure to essential safety and maintenance measures, seeking to make advance payments where possible, rationalising inventories and focusing on the most profitable product range to preserve cash,” said the company, whose capital investments in the first half of this year amounted to GBP0.49 million, compared to GBP0.50 million in the first half of last year.
As reported, Ukrproduct Group posted a net loss of GBP2.04 million for 2024, compared to a net profit of GBP0.39 million for 2023. Revenue in hryvnia increased by 13%, while in British pounds sterling the increase was only 0.2% to GBP37.08 million.
The net consolidated loss of the DTEK RES holding in the first half of 2025 amounted to UAH 1.710 billion, compared to a profit of UAH 1.397 billion in the first half of 2024.
According to the stock exchange report of the holding company DTEK Renewables B.V., this result is due to a 5.4-fold increase in net losses from exchange rate differences on financial and investment activities to UAH 2.381 billion, as well as the fact that last year the company reversed asset impairment losses of UAH 0.566 billion.
According to the report, DTEK Renewables’ consolidated revenue in the first half of 2025 decreased by 1.6% to UAH 2.953 billion, and gross profit decreased by 23.6% to UAH 2.219 billion.
It is noted that sales of wind power plants increased to UAH 0.79 billion from UAH 0.61 billion, while solar power plants increased to UAH 1.986 billion from UAH 1.948 billion.
As of mid-year, DTEK RES’s total assets amounted to UAH 47.91 billion, compared to UAH 38.21 billion at the beginning of the year, while total capital decreased to UAH 6.206 billion from UAH 7.916 billion.
The report notes that in the first half of this year, including the first two decades of June, the actual weighted average level of payments by the Guaranteed Buyer reached 84%, while in the same period of 2024 it was only 55%, and the debt as of June 30, 2025, amounted to UAH 0.614 billion.
DTEK RES expects a payment level of 90% this year and repayment of UAH 0.778 billion of debt with the remaining UAH 1.119 billion to be paid in 2026-27.
Among other positive developments, the company cited the law adopted by the Verkhovna Rada in February 2025 No. 4213 “On Amendments to Certain Laws of Ukraine in the Fields of Energy and Heat Supply Regarding the Improvement of Certain Provisions Related to Economic Activity and Martial Law in Ukraine,” which addresses critical issues by simplifying access to the power grid, increasing investor confidence, and stimulating the creation of new capacity. “The procedures for connecting to the power grid will become more reliable and transparent, and the capacity reservation system will serve as a tool for reducing the risks of large investments in wind energy,” according to DTEK RES.
The company added that the law also increased the annual quota for participation in “green” auctions and directed 45% of the surplus received by NPC Ukrenergo as a result of dispatching activities in 2023 and 2024 to repay accumulated debts to RES producers.
The report also states that in the first half of this year, DTEK RES participated in the construction of the second phase of DTEK Tiligulskaya WPP and battery storage projects, with additional capacity in these projects amounting to UAH 7.283 billion and UAH 3.746 billion. In addition, in July-September, another UAH 2.385 billion and UAH 250 million were allocated for these purposes, and in August, these 200 MW storage facilities were put into operation.
The company’s total loans for the first half of this year increased from UAH 26.51 billion to UAH 37.58 billion, including long-term loans from UAH 16.07 billion to UAH 26.38 billion, of which UAH 12.10 billion to UAH 13.46 billion were green Eurobonds, and the rest in bank loans.
The report states that negotiations are continuing on the restructuring of several loans in connection with Russia’s occupation of the company’s assets. At the same time, in August this year, an additional agreement was signed with Ukrgasbank to defer payments on the principal amount of the debt for one year with interest accruing during the deferral period.
In addition, in January-July this year, DTEK VDE managed to fully repay a EUR198 million non-bank loan, which arose due to the NBU’s restrictions on foreign currency payments.
As reported, the net consolidated profit of DTEK RES holding in 2024 amounted to UAH 1.584 billion, compared to a loss of UAH 547 million in 2023. Consolidated revenue increased by 50.3% to UAH 5.604 billion, and gross profit doubled to UAH 5.19 billion.
On the sidelines of the UN General Assembly session in New York, Uzbek Foreign Minister Bakhtiyor Saidov met with Ukrainian Foreign Minister Andriy Sibiga.
The parties discussed topical issues of bilateral cooperation, including trade, investment, education and cultural exchange, as well as key aspects of cooperation in multilateral formats within international organizations.
“The meeting confirmed the mutual commitment of Uzbekistan and Ukraine to deepen dialogue, strengthen partnership and develop new opportunities for the benefit of our peoples,” Bakhtiyor Saidov said.
Andriy Sybiga wrote on his page on the social network X that the parties agreed to resume political dialogue and expand bilateral and multilateral cooperation in various fields.
“Ukraine seeks to develop relations with Uzbekistan and strengthen ties with Central Asian countries,” the statement reads.
The UK economy grew by 0.3% in the second quarter of 2025 compared to the previous three months, according to the latest data from the Office for National Statistics (ONS). The result coincided with both the preliminary estimate and the consensus forecast of analysts polled by Trading Economics.
Thus, the pace of GDP growth slowed from 0.7% in the first quarter.
In April-June, the services sector grew by 0.4%, the construction sector by 1%, while the manufacturing sector contracted by 0.8%.
Consumer spending increased by 0.1%, and government spending by 1.3%. Business capital investment increased by 0.5% (previously reported as a 1.1% decline).
Exports decreased by 0.2% (the decline was recorded for the third quarter in a row), while imports remained unchanged.
British GDP growth in the second quarter was 1.4% compared to the same period last year. Previously, it was reported an increase of 1.2%.
Earlier, the Experts Club analytical center released a video on the economic performance of Ukraine and major countries of the world – https://youtu.be/kQsH3lUvMKo?si=dhZl9SIChwDiTinw
NASA plans to build a settlement for astronauts on the Moon by 2035, acting head of the agency Sean Duffy said at the International Astronautical Congress in Sydney.
“We are going to create sustainable living conditions for people on the Moon,” Duffy said. “Not just an outpost, but an entire settlement.”
According to him, nuclear energy will be used to power the settlement. The reactor, weighing less than 15 tons, will be capable of producing 100 kW of electricity. This is enough to provide the lunar base with electricity for 14 lunar nights, when solar panels will be ineffective.
Duffy said that the US “will return to the moon, and this time, when we plant our flag, we will stay there.” The settlement will be able to permanently host astronauts and will be built from materials found on the surface of the Moon.
As early as February next year, NASA will launch the Artemis II mission with four astronauts on board in the first manned expedition to the Moon in more than 50 years. The astronauts will not land on the surface of Earth’s natural satellite. During the Artemis II mission, the astronauts will test the Space Launch System rocket and the Orion spacecraft, which will eventually take humans to the moon. The crew will fly around the moon for 10 days before returning to Earth.
But a serious test for NASA awaits in mid-2027 with the launch of the Artemis III mission, which plans to land two astronauts near the south pole of the Moon. In September, Duffy said that as part of the Artemis III mission to explore the Moon, which NASA plans to carry out in mid-2027, astronauts will stay on the planet for eight to twelve days. The data they collect on the geology and conditions around the South Pole will be used to prepare for the ultimate goal of building a permanent base on the Moon.
The Experts Club information and analytical center, with the assistance of the Ukrainian Cement Manufacturers Association (Ukrcement), has conducted an analysis of the Ukrainian cement industry.
Over the past five years, the Ukrainian cement industry has experienced a peak in production in 2021, a sharp decline in 2022, a gradual recovery in 2023, and stabilization in 2024. However, the current level is still far from pre-war indicators.
According to trade union and industry reviews, output was about 11 million tons in 2021, fell to 5.4 million tons in 2022, recovered to 7.43 million tons in 2023, and reached 7.93 million tons in 2024. In 2025, manufacturers are talking about an actual “ceiling” — approximately 8 million tons under current risks and logistics, which is likely to be the maximum figure.
The dynamics of domestic cement consumption show a similar trend of “decline and normalization.” In 2021, before the full-scale invasion, consumption was around ~10.6 million tons. In 2022, the cement market fell sharply to approximately 4.5 million tons, rose to 6.2 million tons in 2023, and stabilized at around 6.3 million tons in 2024. Thus, the country approached a stable level of “war” demand, which is almost half of the pre-war level, within the range of 6–6.5 million tons.
The structure of demand has changed: the share of traditional residential and commercial construction has given way to infrastructure and defense projects. The key short-term drivers are fortification works, shelters, emergency repairs of roads and bridges, as well as targeted housing programs such as “єОселя,” which supported demand in 2023–2024, although they did not return it to the 2021 level. The market expects demand to remain stable in 2025, sensitive to the volume of budgetary and international financing.
Amid declining domestic demand, a natural step to support production capacity utilization was the gradual reorientation of part of the cement output to foreign markets. In 2021, cement exports amounted to about 971,000 tons (9% of production), and in 2024, about 1.7 million tons (21.3% of production). The main destinations remain neighboring countries—Poland, Romania, Hungary, and Moldova—as confirmed by both statistical data and industry estimates. The industry has repeatedly emphasized that as soon as domestic consumption begins to grow, the export share will decline in favor of Ukrainian construction sites.
Imports, on the contrary, have declined. After approximately 1 million tons in pre-crisis 2020, deliveries in 2024 decreased to ~40 thousand tons (including niche items such as white cement). This was also influenced by anti-dumping duties: against Turkey — 33–51% (in effect until September 2026), and against Russia/Belarus/Moldova, measures have been extended until 2030. Under the current conditions, when production capacities and logistics are adapted to the “military” level of consumption, demand is fully covered by domestic resources.
The market structure in 2024–2025 is highly concentrated. The key producers are PJSC Ivano-Frankivskcement, the CRH group (after the AMCU approved the deal to acquire CRH’s Dyckerhoff/Buzzi assets — PJSC VIPCEM, Podolsky Cement JSC, Mykolaivcement PJSC, Cement LLC) and Kryvyi Rih Cement PJSC. Despite market discussions, legal disputes, and attention from antitrust authorities—which is to be expected for transactions of this scale—the CRH deal creates potential for integration into global production and logistics chains, attracting new investments, modernizing production, and raising the standards of the competitive environment. In the context of the country’s future large-scale recovery, the agreement opens up opportunities to strengthen supply stability, improve product quality, and develop a competitive environment.
Who is currently driving domestic consumption? In peacetime, the main stabilizers of demand were mass housing construction and infrastructure. In 2023–2025, basic demand will be driven by roads and engineering structures (including fortifications and shelters), municipal and energy facilities, selective reconstruction projects, as well as the private sector — repairs and local construction.
Road construction is an important factor in economic and social development. The introduction of the latest technologies, the use of high-quality materials, and compliance with environmental requirements are key aspects of the successful development of this industry.
The development of the construction and repair of cement concrete roads based on cement mixtures can play a key role in stimulating stable cement consumption in conditions of war and reconstruction. This infrastructure direction makes it possible to maintain the production capacity of enterprises, jobs, and economic activity, despite a significant reduction in residential and commercial construction. Thanks to their durability and endurance, cement concrete pavements are the optimal solution for both military and civilian logistics. The implementation of such projects not only ensures constant demand in the industry, but also the development of related sectors, creating a multiplier effect for the economy even in crisis conditions. This issue will be the focus of a specialised seminar organised by NIRI and the Ukrcement Association on 15-16 October 2025, where the advantages and role of cement concrete solutions in the reconstruction of Ukraine will be discussed (details at ukrcement.com.ua).
In terms of sales channels, the market remains predominantly B2B: most of the cement is purchased by contractors, road and infrastructure companies, large developers, reinforced concrete manufacturers, and concrete plants. The B2C channel (retail chains of building materials, small contractors) continues to play a significant role in repairs and low-rise construction, but in terms of total volume, it is inferior to the project segment. Industry reviews of construction projects and reports on fortification works in 2024–2025 provide further confirmation of the “infrastructure” shift.
The geography of foreign sales shows a stable “corridor” and proximity to the EU. According to trade statistics for 2023, Romania accounted for the largest value of supplies, followed by Poland and Hungary; in 2024, Romania, Poland, and Hungary remained in the lead.
This reflects shortages in the EU border markets and the competitiveness of Ukrainian prices with close logistics.
What limits growth. Military risks and energy infrastructure (in particular, the availability of electricity), regional logistics, as well as regulatory and competitive issues. A large-scale jump in consumption (approximately 12–13 million tons) requires a steady inflow of investment resources for reconstruction of around $35 billion per year — the association considers such a scenario to be technically and operationally realistic. Predictable competition rules and price monitoring are important in the equation so that the “reconstruction” multiplier is not absorbed by costs.
Conclusion by Experts Club. The industry has found a “military balance”: production of about 8 million tons, domestic consumption of ~6.3 million tons, and exports as insurance at the level of 1.5–1.7 million tons. With the scaling up of energy restoration and strengthening programs, a shift from exports to the domestic market is logical. The key to acceleration is stable financing of infrastructure and housing, affordable energy, and maintaining fair competition between major players. In such a scenario, cement remains one of the first materials that quickly transforms the budget into employment and GDP — through concrete, reinforced concrete structures, roads, and fortifications.
Sources: Global Cement (production and consumption; import duties), Interfax-Ukraine/Ukrcement (exports in 2024; estimates of reconstruction needs), OEC (export destinations in 2023), CEMBUREAU (imports, exports, and consumption, in particular the benchmark for 2024), industry and business media regarding the CRH/Dyckerhoff deal and the competitive situation.
Source: https://expertsclub.eu/rynok-czementu-ukrayiny-doslidzhennya-experts-club/
