The top 100 largest state-owned companies in Ukraine in 2017 saw net profit rise by 38.5% compared to 2016, to UAH 44.4 billion, while 88.5% of this amount was the profit of Naftogaz, according to data released by the Ministry of Economic Development and Trade. “The main factor of the growth of Naftogaz Ukrainy’s profit in 2017 was the victory in arbitration proceedings against Gazprom, due to which Naftogaz received the largest net profit for 20 years,” the ministry said, noting that in 2017 the net profit of Naftogaz increased to UAH 39.3 billion against UAH 17.8 billion in 2016.
The enterprises of state-regulated industries have become the most profitable in the list of the top 100 companies, First Deputy Minister of Economic Development and Trade Maksym Nefyodov said.
“At the same time, most companies remain extremely inefficient, as before. We have only one way out – to continue the corporate governance reform of those strategic state-owned companies that must remain in state ownership and hold a transparent privatization of other companies under the law adopted this year,” he said.
According to the ministry’s report, the total value of the assets of state-owned companies in 2017 compared to 2016 increased by 5% and amounted to more than UAH 1.509 trillion.
Arricano Real Estate Plc (Cyprus), a managing company and developer of some shopping and leisure centers in Ukraine, in January-June 2018 saw $13.9 million in net profit, which is 12.6% less than in H1 2017.
According to a company report on the London Stock Exchange (LSE) on Thursday, revenue grew by 14.5%, to $14.8 million.
According to the document, the decline in profit was linked with less gain on revaluation of investment property: $9.77 million in H1 2018 compared with $15.63 million in H1 2017.
Total profit over the period grew by 4.6%, to $22.13 million.
Pre-tax profit as of June 30, 2018 fell by 12.2%, reaching $16.2 million compared with $18.4 million a year ago.
Total fair valuation of the company’s portfolio increased by $19.1 million to $240.4 million and occupancy increased to 99.7% as at June 30, 2018 (June 30, 2017: 98.8%). The company signed 68 new lease agreements during H1 2018 compared to 52 in H1 2017.
According to the company’s report, this was a good performance increasing occupancy and achieving an average rental rate (excluding hypermarkets) of $18.5 per sq.m.
Net asset value totaled $74.3 million (December 31, 2017: $52.2 million).
Bank debt at the half-year end was $39.5 million, with the majority of borrowings at the project level at an average rate of 11.5% (in H1 2017 11.1%).
In addition, the company had $4 million of cash and cash equivalents, and non-bank loans of $57.8 million as at June 30, 2018.
The three development sites covering 14 ha in Lukianivka (Kyiv), Petrivka (Kyiv), and Rozumovska (Odesa) continue to be progressed, the company said.
Public joint-stock company Ukrzaliznytsia in January-June 2018 saw UAH 468.36 million of net profit, which is 3.82 times more than a year ago, the company has reported in its financial statements on its website.
Pretax profit was UAH 736.598 million, which is 21.35% more than a year ago.
Net sales revenue over the period came to UAH 39.969 billion, and the production cost reached UAH 38.545 billion.
Labor costs in H1 2018 grew by 43.3%, to UAH 16.535 billion.
As reported, referring to the audited consolidated financial statements of Ukrzaliznytsia for 2017, the company saw UAH 114.55 million of net profit compared with UAH 7.322 billion of loss in 2017, while total loss came to UAH 77.24 million compared with UAH 7.43 billion a year ago.
Agroliga group of companies (Kharkiv region) received a net profit of EUR1.175 million in January-June 2018, which is 30% more than in the same period of 2017.
According to the company’s report on the Warsaw Stock Exchange, its revenue for the period decreased by 2.1%, to EUR11.913 million, operating profit by 34.1%, to EUR928,000, gross profit by 9.6%, to EUR1.235 million. The total assets of Agroliga as of June 30, 2018 amounted to EUR28.5 million against EUR25.33 million as of December 31, 2017.
Agroliga has been operating on the Ukrainian agricultural market since 1992. Its enterprises are engaged in growing grain crops, processing sunflower seeds, and dairy farming.
The group cultivates about 10,000 hectares of land.
The majority shareholders of the group are Oleksandr Berdnyk with a share of 41.66%, and Iryna Poplavska with 41.66%.
PJSC Citibank (Kyiv) in January-June 2018 received a net profit of UAH 627.989 million, which is 4.9% more than for the same period in 2017 (UAH 598.313 million).
According to the bank’s quarterly financial report, net interest income for the six months was UAH 657.974 million, which is 5.3% more than for the corresponding period of 2017 (UAH 625.030 million).
Excluding expenses for the formation of reserves, net interest income was UAH 683.345 million, which is 10.8% more than for the corresponding period of the previous year (UAH 616.736 million).
In addition, the bank posted a commission income of UAH 89.948 million (an increase of 86.5% over the same period in 2017).
The assets of the bank for the six months rose by 5.8%, to UAH 20.119 billion, in particular loans and customers’ debts decreased by 7.9%, to UAH 5.104 billion.
Charter capital by the end of June 2018 remained at the same level, at UAH 200 million, while net worth rose by 35.4%, to UAH 2.490 billion.
Citibank was founded in 1998. It is a subsidiary of Citibank NA (the United States).
Ukrnafta saw net profit rise by 54.3% in January-June 2018 compared to the same period in 2017, to UAH 2.061 billion.
According to a company report in the information disclosure system of the National Commission on Securities and the Stock Market, its net income grew by 21.6%, to UAH 16.762 billion, gross profit by 40.8%, to UAH 9.675 billion.
In January-June 2018 Ukrnafta sold 712,800 tonnes of oil with gas condensate for UAH 9.398 billion, 117.8 million cubic meters of natural gas for UAH 889.635 million, 174,200 tonnes of fertilizers and nitrogen compounds for UAH 831.937 million, 53,000 tonnes of liquefied gas for UAH 639.321 million.
Ukrnafta has not indicated data on the sales of petroleum products for the first half of the year.
Naftogaz Ukrainy owns a 50% plus one share stake of Ukrnafta, the former shareholders of PrivatBank (Kyiv) hold about 42% of the shares.