According to official statement made by the company, Agroliga has signed lease agreement for 620 hectares of land in Derhachevski district of Kharkov region. The agreement was signed for the period of 5 years, including the provision for prolongation as well as provision for first refusal. Company also announced that it is planning to increase its production capacity in the sector of agricultural crops. Agroliga is planning to use newly acquired land for growing corn during the current season. Company made acquistion with its own capital, without attracting external funding.

Alex Morgun, Financial Analyst of UkrAgroConsult stated that according to the unaudited financial report for the Q4 2013, published earlier this year, company reported 19.4% net income growth, which constituted USD 790 thousand. Total revenues grew by USD 1.7 million or 8.4% in annual terms. Cost of sales grew by 3.3%, which mainly contributed to net income growth. Company’s management is aiming to expand its activities further over the current year, while avoiding excessive use of external funding. 

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.

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