The French group AgroGeneration with assets in Ukraine received EUR 5.46 million of net loss in the first half of 2020, which is 68.8% less than in the same period last year.
According to a report on the group’s website, income decreased by 13% to EUR 9.47 million in the reporting period. AgroGeneration received EUR 2.48 million of gross profit in January-June 2020 against EUR 5.57 million of gross loss in the same period previous year. The company reduced its operating loss from EUR 10.76 million in the first half of 2019 to EUR 340,000 in January-June 2020.
EBITDA was positive in the first half of 2020 and amounted to EUR 2.83 million against EUR 7.77 million negative in January-June 2019.
The group’s net debt as of June 30, 2020 amounted to EUR 37.18 million against EUR 50.78 million on the same date last year.
The company noted that since the beginning of the year, AgroGeneration has sold all the harvest remaining in stocks from the 2019 season. As of the date of the report, the company had completed the 2020 harvest, which included 100% of early crops, mainly winter wheat, and 100% of late crops, represented only by sunflower.
DTEK Energy saw a net loss of UAH 16.522 billion in January-June 2020 compared with UAH 3.342 billion in net profit for the same period in 2019, according to the company’s report released on Monday.
The company’s revenue in January-June this year amounted to UAH 20.447 billion, which is 42.6% less than in the same period last year (UAH 35.626 billion, taking into account the revaluation).
According to the report, the gross loss amounted to UAH 0.732 billion compared with UAH 9.161 billion of gross profit in the first half of 2019.
DTEK Energy told Interfax-Ukraine that the company’s production and financial results continue to be affected by the systemic crisis in the energy sector.
Thus, in the first half of the year, coal production by the company decreased 23% compared to the same period last year, to 8.7 million tonnes, and electricity production decreased 36.2%, to 10.1 billion kWh.
An additional negative effect was caused by the depreciation of the national currency due to the general economic recession. Loss on exchange rate differences amounted to UAH 5 billion compared with a profit of UAH 2.6 billion in the first half of 2019.
“To normalize the operation of the energy market, it is necessary to remove restrictions that distort its operation and lead to an economic imbalance of the entire industry. Compliance with the principles of free pricing will make it possible to ensure financial recovery of both private and public generation,” DTEK Energy said.
PrJSC Ukrenergo saw a net loss of UAH 18.31 billion in January-June 2020 compared to UAH 1.765 billion of net profit over the same period in 2019.
According to a report presented by the national energy company, its net income increased by seven times (by UAH 21.698 billion), to UAH 25.299 billion, in H1, 2020. Its gross loss amounted to UAH 16.756 billion in January-June 2020 against UAH 2.93 billion of gross profit over the same time in 2019.
As reported, Ukrenergo in 2019 reduced its net profit by 28.4% (by UAH 738.63 million) compared to 2018, to UAH 1.864 billion. Its net income over the past year increased by 4.4 times, to UAH 26.326 billion, gross profit doubled to UAH 6.245 billion, EBIDTA rose by 20.4%, to UAH 4.062 billion.
Ukrenergo operates trunk and interstate power grids, as well as performs the centralized dispatching of the country’s combined energy system. It is subordinate to the Ministry of Finance.
JSC Ukrzaliznytsia in January-March 2020 saw a loss of UAH 7 billion, according to materials of the Cabinet of Ministers posted on its website on Wednesday.
According to the document, since March 11, 2020, Ukrzaliznytsia has suspended economic activity, which negatively affects its financial and economic performance.
“According to the results of the first quarter of this year, the company saw losses of UAH 7 billion… At the same time, according to the company’s forecasts, due to the need to repay loans and interest on them (UAH 11 billion and UAH 3 billion, respectively), a shortage of funds by the end of the year may amount to UAH 16 billion,” the company said in an explanatory note.
According to the document, the reduction in production in Ukraine, the shutdown of enterprises-shippers and the negative situation on international markets led to a 4.8% decrease in total cargo turnover in the first quarter of 2020 compared to the same period last year.
In order to minimize the negative consequences, Ukrzaliznytsia is implementing a number of compensation measures: an idle time for staff, suspension of planned salary increases, restriction of procurement of material and technical resources and services (except for critical positions), and optimization of payments.
On this basis, the Infrastructure Ministry proposed that the basic standard for sending part of the profits allocated for the payment of dividends based on the results of economic activities in 2019 is set in the amount of 30% (currently – 90%) for Ukrzaliznytsia.
Milkiland, a dairy group with assets in Ukraine, Russia and Poland, saw EUR 11.39 million in net loss in January-September 2019, which is 15.1% more than a year ago.
According to a report of the group on the Warsaw Stock Exchange (WSE), consolidated revenue over the period slightly fell – by 2.3%, to EUR 96.57 million, and earnings before interest, taxes, depreciation and amortization (EBITDA) fell by 85.3%, to EUR 0.66 million.
In the nine months of 2019 Milkiland decreased its overall sales volumes by c. 29% on the back of significantly lower sales of cheese and butter products, which profitability were undermined by “the costs-prices scissors,” when the prices for finished goods lag behind the growing cost of the raw materials, namely, raw milk prices both in Russia and Ukraine. The prices for raw milk in Ukraine and Russia in January-September 2019 were by 9% and by 7.5% higher on average on year-over-year basis, respectively.
“Those unfavourable trends were aggravated by the situation with the appreciation on UAH and RUR against EUR in the reporting period,” the company said.
Due to the “scissors” effect and the growing completion in the Russian dairy market, first of all, in the market of the City of Moscow, Ostankino decreased the sales volumes of the whole-milk products by c. 9%, which led to decline of profitability of its business on EBITDA level by 6 pp. to practically zero on year-over-year basis.
Milkiland Ukraine in January-September 2019 focused on the development of sales of high value-added products, including innovative lactose-free cheese and whole milk products, primarily in the key accounts channel. As the result, this subsidiary of Milkiland managed to preserve its EBITDA margin almost at the same level of c.3% as in in January-September 2018.
Milkiland EU over the period faced a significant deterioration of the traditional business of the production and selling of dry milk products (WPC, permeate) triggered by non-favorable situation with the prices for these products in the global market, as well as declining sales of the cheese-mix products at the domestic market of Poland. As the result, the company generated losses at EBITDA level, which also decreased the overall EBITDA result of the group.
Milkiland Intermarket increased the sales of the group’s dry milk products in China and Kosher goods sales in Israel. The share of these two countries in the total sales of Milkland Intermarket exceeded 60%. The sales volumes of the dry milk products and butter by this company increased by c. 25% in January-September 2019 on year-over-year basis.
At the same time, growing input costs in Ukraine and revaluation of the Ukrainian currency against EUR and USD during the reporting period led to the situation, when the EBITDA margin of this increased sales slid to the negative territory.
Lifecell mobile operator in July-September 2019 increased its net loss by 82.3% compared to the same period in 2018, to UAH 338.3 million, the company has said.
According to the interim report, the operator’s income in the third quarter increased by 11.8%, to UAH 1.529 billion, EBITDA by 32.9%, to UAH 810.5 million. At the same time, the EBITDA margin increased by 8.4 percentage points, to 53%.
The Lifecell active subscriber base for July-September 2019 decreased by 9.2% compared to the third quarter of 2018 and amounted to 6.9 million users, while the total base by 10.9%, to 9 million.
The average revenue per user (ARPU) of the active subscriber base increased by 26%, to UAH 74.7.
The operator’s capital investments for the specified period amounted to UAH 547.7 million, which is 34.4% less than for the same period in 2018.
Compared to the second quarter of this year, the active subscriber base in the third quarter rose by 100,000 people, revenue by 3.2%, EBITDA by 1.5%, net loss by 15.4%, and capital investments by 56.5%.
