TAS Dneprovagonmash LLC (DVM, Kamianske, Dnipro region), a major Ukrainian railcar manufacturing company controlled by businessman Sergiy Tigipko’s TAS Financial and Industrial Group, ended January-September 2024 with a non-consolidated net profit of UAH 53.86 million, up 5.4% compared to the same period in 2023.
According to the company’s interim reports published in the information disclosure system of the National Securities and Stock Market Commission (NSSMC), its unconsolidated net income for the period increased by 76.4% to UAH 1 billion 278 million.
The company increased its gross profit by 41.3% to UAH 136.9 million, earning UAH 67.4 million in operating profit (up 26%).
As reported earlier, in the first half of this year, TAS Dneprovagonmash cut its unconsolidated net profit three times year-on-year to UAH 18.85 million, while net income increased by 37.8% to UAH 796.5 million.
Thus, in the third quarter of 2024, the company received UAH 35 million of unconsolidated net profit against a loss of UAH 6.8 million in July-September 2023, while net income increased 3.3 times to UAH 481.46 million.
According to the report, in the third quarter, TAS Dneprovagonmash produced 139 freight cars (177 units in the first quarter and 140 units in the second quarter), accounting for 25.2% of the total Ukrainian production (23% in the second quarter), with an average selling price of UAH 2.584 million (UAH 2.215 million in the second quarter).
No products were exported in the third quarter.
As reported, in 2023, TAS Dneprovagonmash produced 378 freight cars (including for the EU market), which is 34.8% less than in 2022, while sales decreased by 40.6% to 370 units. Non-consolidated revenue decreased by 2.8% to UAH 1 billion 77 million, while net profit increased slightly to UAH 49.2 million.
TAS Group was founded in 1998 by businessman Sergey Tigipko. Its business interests include the financial sector (banking and insurance) and pharmacy, as well as industry, real estate, and venture capital projects.
Aviation company FED JSC (Kharkiv) completed July-September 2024 with a net profit of UAH 85.76 million, which is 3.7 times more than in the third quarter of 2023, with net income growing by 29.4% to UAH 300.27 million.
This result follows from the company’s interim financial statements for January-September, published in the information disclosure system of the National Securities and Stock Market Commission (NSSMC), according to which net profit almost halved to UAH 140.32 million and net income decreased by 35.2% to UAH 586.67 million during this period.
For its part, as reported, in the first half of the year, FED reduced its net profit by 4.6 times compared to the same period in 2023 – to UAH 54.56 million, while net income fell by 2.4 times – to UAH 286.41 million.
Thus, the company managed to significantly improve its financial performance in the third quarter.
“Currently, the main significant problems of the Company are military aggression against Ukraine, low solvency of customers and financial and economic instability in the country. All other problems are solved through a “dialogue” with the relevant government agencies in the form prescribed by law,” the report says.
The plant also emphasizes that damage to infrastructure or blockage of transportation routes may lead to further delays in production and logistics, which will negatively affect its operating performance.
“In the context of the economic crisis, the credit burden is growing, which may affect FED’s ability to finance current expenses and make investments,” the document says.
The company also considers uncertainty in foreign markets to be a significant risk factor.
“FED is one of the leading enterprises in Ukraine, specializing in the development, production, maintenance and repair of aviation, space and general engineering units.
According to the report, as of October 1, 2024, the company employs more than 1030 people.
As reported, in 2023, FED increased its net profit by 2.2 times compared to 2022, to UAH 318.33 million. Net income almost doubled to UAH 1 billion 127 million.
In January-September 2024, Nova Poshta, the leader in express delivery in Ukraine, reduced its net profit by 1.9 times compared to the same period in 2023, to UAH 1.65 billion.
According to the company’s interim financial statements for January-September, published in the information disclosure system of the National Securities and Stock Market Commission (NSSMC), net income increased by 16.4% to UAH 30.81 billion.
At the same time, the company’s gross profit increased by 6.4% to UAH 5.86 billion, while operating profit decreased by 10.5% to UAH 2.44 billion.
In the first nine months of 2024, the number of delivered parcels and cargoes amounted to 336 million, which is 16% more than in the same period in 2023.
“In January-September, Nova Poshta opened 5,518 new branches and post offices. The network grew all over Ukraine, including in the frontline areas, where 126 new branches and post offices were opened.
During this period, the company paid UAH 6.7 billion in taxes in Ukraine, which is 4% more than in the corresponding period of 2023.
Since the beginning of the year, Nova Poshta has invested UAH 4.1 billion in its development in Ukraine, which is 1.7 times more than in the same period last year (UAH 2.4 billion).
As part of the Humanitarian Mail of Ukraine program, the company makes shipments for the military from charitable foundations and volunteers at its own expense. In the first nine months of this year, the company delivered 1.2 million parcels. Since the beginning of the full-scale invasion, it has delivered almost 2.5 million.
“Nova Poshta provides a range of logistics services, delivering both small parcels and large cargo. The company provides express delivery of documents, parcels and bulky goods; postal and courier services to businesses, organizations and individuals; loading and unloading services, warehousing and storage; and transport activities – Nova Poshta provides delivery to each client – to the branch, post office, or address. The company also provides logistics and distribution services.
“Nova Poshta has about 12,000 offices across Ukraine and more than 20,000 post offices. The average number of employees is 35 thousand.
The net profit of state-owned PrivatBank (Kyiv), the largest Ukrainian bank, amounted to UAH 48.35 billion in January-September 2024, which is 11.5% higher than in the same period of the previous year.
“According to the results of the first nine months of 2024, the bank’s pre-tax profit reached UAH 64.01 billion, and net profit amounted to UAH 48.35 billion (+11.5% yoy),” the bank said in a statement on Thursday.
According to it, since the beginning of this year, the bank’s loan portfolio has increased by 18.4%, exceeding UAH 108.99 billion as of the end of September, while total assets increased by 5.4% to UAH 722.17 billion, and deposits and balances on customer accounts by 4% to UAH 572.04 billion.
It was specified that the number of active private clients decreased from 18.35 million to 18.3 million in the first nine months of this year, of which 13.51 million were Privat24 users, while the number of business clients increased from 875 thousand to 890 thousand.
In addition, in January-September, PrivatBank reduced the number of branches by 22 to 1173, ATMs by 20 to 6860, terminals by 62 to 10411, and the number of its POS terminals amounted to 311.17 thousand at the beginning of October.
Taking into account the previously published data, the bank’s net profit in the third quarter of 2024 amounted to UAH 17.75 billion, which is 30.3% higher than in the third quarter of 2023.
“During the third quarter, the bank maintained the achieved level of business activity, despite the pressure of electricity shortages on households and businesses,” the financial institution said in a press release.
It notes that the high quality of the loan portfolio results in almost zero expenses for the formation of additional provisions to cover credit risks. Operating expenses remain under management control: in the first nine months of 2024, they increased by only 4.8% compared to the same period last year, which is significantly lower than the inflation rate.
It was also clarified that since the beginning of the year, PrivatBank has donated UAH 167.06 million to charity, aimed at helping hospitals and medical institutions, strengthening the country’s defense capabilities, social projects, and helping employees.
The net consolidated profit of Naftogaz Group in January-March 2024 increased by 3.7 times (by UAH 17.839 billion) compared to the same period last year, to UAH 24.414 billion.
According to the consolidated financial statements published on Naftogaz’s website, its sales revenue for the first half of the year increased by 28.1% (by UAH 31.456 billion) to UAH 143.373 billion, gross profit by 4.1 times (by UAH 33.479 billion) to UAH 44.377 billion, and operating profit by 2.1 times (by UAH 14.907 billion) to UAH 28.904 billion.
According to the group’s press service, the improvement in financial results was achieved, in particular, due to an increase in revenues from the sale of gas, oil and petroleum products, as well as natural gas distribution services.
The key companies that showed a profit in the first half of 2024 are Naftogaz of Ukraine, Ukrgasvydobuvannya, Ukrtransgaz, Ukrnafta, Gas Supply Company Naftogaz of Ukraine, and Ukrtransnafta.
In addition, in January-June 2024, the group’s companies paid UAH 44 billion in taxes to the state budget, or 7.5% of all payments controlled by the State Tax Service of Ukraine.
As reported, in 2023, the net consolidated profit of Naftogaz Group amounted to UAH 23.1 billion, compared to a loss of UAH 79.1 billion in 2022.
The net profit of solvent banks in Ukraine in January-August 2024 reached UAH 106.08 billion, which is 11.6% more than in the same period in 2023, according to the National Bank of Ukraine (NBU).
According to the NBU, in August this year, banks’ net profit decreased to UAH 12.47 billion from UAH 14.58 billion a month earlier, up 4.8% compared to August 2023.
According to the National Bank, net interest income in January-August this year increased by 18.5% to UAH 152.74 billion, while net commission income increased by 8.2% to UAH 36.11 billion.
The share of interest income in the total structure of banks for 8 months of this year increased to 68.6% from 67.5% for 8 months of last year, while the share of commission decreased to 21.0% 21.9%.
At the same time, in August of this year, net interest income increased by 11.6% to UAH 19.98 billion compared to August of last year, while net fee and commission income increased by 14.3% to UAH 4.48 billion.
According to the NBU, in August, banks added additional reserves in the amount of UAH 0.78 billion compared to UAH 0.75 billion in July and UAH 1.68 billion in June, but in general, since the beginning of the year, this figure amounted to only UAH 1.15 billion compared to UAH 6.52 billion for 8 months of last year, including UAH 1.62 billion in August-2023.
It is noted that banks paid UAH 30.71 billion in income tax in January-August this year, compared to UAH 17 billion last year.
As reported, last fall, the Verkhovna Rada retroactively increased the bank profit tax for 2023 from 18% to 50%, setting it at 25% for the following years. However, this year, in September, the Parliament again approved in the first reading a retroactive increase in the bank profit tax to 50% in 2024.
However, the National Bank opposes this and said it would try to persuade parliamentarians.
