According to the Full Year Interim Report 2013, published on the company’s official website, Agrokultura, company with assets in Ukraine and Russia ended 2013 with USD 48.5 million loss, compared to USD -18.1 million net loss in 2012. Company reported cost of sales figure at USD -99.5 million, operational loss at USD -25.1 million and financial expenses at USD -3.3 million. Gross profit was stated to reach USD -37.9 million.

Financial Analyst of UkrAgroConsult, Alex Morgun noted that company had been operating in red since 2011, when net loss reached USD -22.9 million. However, this is the first time over the three years of operations when company reported decline of sales revenue figure as well – USD 89.9 million compared to USD 106.1 million in 2012. Sales revenue figure might be attributed to the fact that the company went through USD 150 million cost reduction in 2013, having dissolved several assets in Ukraine. Decline in prices for agricultural commodities in 2013 drew company’s revenues even lower.

While Interim Report is audited only by internal company’s auditors, we believe that it will not differ significantly from externally audited annual report, which will be coming out for the company on April 24, 2014.
    
UkrAgroConsult has completed review and recommendations study on investing in Ukrainian Agrarian Sector. You can follow this link to find out more about the study “How to profit from Ukraine’s agricultural sector?”. In case you are interested in state of agrarian sector within CIS region, please follow the link below to read UkrAgroConsult monthly report “Agrarian Business in CIS region” for January 2014 (featuring Ukraine). First issue is free of charge. You can subscribe to the report to receive it on a monthly basis.