The KSG Agro agricultural holding saw $4.77 million in net profit in January-September 2020, which is 52% less than in the same period in 2019.
According to an unaudited report of the holding, published on the Warsaw Stock Exchange, its revenue in the first nine months of 2020 decreased 17%, to $14.67 million.
In January-September of this year, KSG increased its gross profit 3.6 times compared to the same period in 2019, to $6.77 million, operating profit – 5.4 times, to $13.61 million. EBITDA in the reporting period grew 3.8 times, to $14.71 million.
Revenue and cost of sales are both lower by 17% and 36%, respectively, and primarily in the crop production segment, which is more affected by seasonality and weather conditions. Total revenue in the crop segment in the first nine months of 2020 was $6.9 million, compared to $9.7 million for the same period in 2019.
In January-September 2020, KSG’s revenue in the livestock segment decreased 0.5%, to $7.4 million, As part of the “other operations” segment revenue grew 1.7 times, to $0.4 million. Total pig sales in the first nine months of 2020 year amounted to 80,000 heads.
“The Board of Directors of the company does not currently provide for the significant adverse effects of the coronavirus COVID-19 epidemic on the group’s financial results in 2020,” the company said in its report.
The vertically integrated holding KSG Agro is engaged in pig breeding and production, storage, processing and sale of grain and oilseeds.
