The Ukrainian business of the Danish pig-breeding company Goodvalley, which assets are also located in Poland and Russia (formerly Danosha), in January-September 2020 saw EBITDA of DKK 125 million, which is 81.2% better than this indicator in January-September 2019.
Adjusted EBITDA rose by 76.5% to DKK 120 million, while revenues grew by 10.6%, to DKK 343 million, according to the company’s report last week.
The company said that in the third quarter of this year compared to the third quarter of last year, it managed to increase EBITDA 2.4 times, to DKK 34 million, adjusted EBITDA – by 80%, to DKK 27 million, but its revenue decreased 6.5%, to DKK 129 million.
According to the report, sales of pigs in live weight in the third quarter were stable, having decreased by 1.8% compared to the third quarter of last year, to 10,700 tonnes. The average realized price per kilogram decreased by 14.4% over the year as a result of the fall in the exchange rate, to DKK 11.37 from DKK 13.28.
Goodvalley clarified that 77% of the revenue of the Ukrainian segment came from sales of live pigs, and 23% from sales of grain crops and energy.
The share of the Ukrainian segment in the total revenue of the group was 34%, the Polish – 55%, the Russian – 11%, while the adjusted EBITDA was higher – 44% compared to 27% from the Polish business and 29% from the Russian one.
According to the report, in January-September of 2020, sales of pigs in live weight in the Ukrainian segment grew by 11.2% to 31,700 tonnes.
In general, Goodvalley’s revenue in the first nine months of this year increased 0.8%, to DKK 1130 million, EBITDA 6.7%, to DKK 224 million, and adjusted EBITDA increased 39.5%, to DKK 258 million.
In the third quarter of this year, the company’s revenue decreased 8.5%, to DKK 379 million, EBITDA 47.6%, to DKK 33 million, and adjusted EBITDA 18.3%, to DKK 58 million.
Goodvalley ended the first nine months of this year with a net loss of DKK 11 million versus DKK 120 million in net income in the first nine of last year, but adjusted profit rose 3.7 times, to DKK 95 million.
In the third quarter, the net loss amounted to DKK 50 million versus the net profit of DKK 26 million in the third quarter of last year, and the adjusted net profit fell by 83.3%, to DKK 3 million.
Goodvalley is engaged in pig farming in Ukraine, Poland and Russia. The group is also engaged in crop production, production of compound feed, biogas and electricity. It includes 34 farms and nine biogas plants. Goodvalley has a land bank of 38,300 hectares.
Goodvalley in 2019 increased its net profit to DKK 188 million from DKK 22 million in 2018. The company’s revenue rose 3.6% last year, to DKK 1.53 billion.