By KYIV. Nov 10 (Interfax-Ukraine) – Agricultural holding IMC received a net loss of $2.25 million for the first nine months of this year, compared to $4.67 million of net profit for the same period last year, the company said in a report on the Warsaw Stock Exchange.
According to it, the holding’s revenue increased by 59.8% – to $98.78 million, including exports increased by 24.4% – to $70.23 million.
At the same time, the revaluation of biological assets and agricultural products in January-September of this year brought 44.5% less than in January-September last – $23.51 million.
In addition, a significant increase in production costs – by 55.6%, to $92.4 million – led to a reduction in gross profit by 33.3% – to $29.89 million.
Although IMC managed to more than halve administrative expenses (to $7.12 million), a more than twofold increase in logistics and distribution costs (to $16.50 million), taking into account the decrease in gross profit, led to a drop in operating profit compared to the same period last year almost 15.3 times – to $1.41 million.
At the same time, the situation was partially compensated by positive exchange rate differences in January-September of this year of $790,000 against exchange rate losses of $11.07 million for the same period last year.
Normalized EBITDA for nine months amounted to $13.85 million, which is 2.7 times less than for nine months of last year. The report notes that the fall was due to lower crop prices this year.
It is clarified that the main revenue of IMC in the reporting period came from the sale of 472,980 tonnes of corn – $82.42 million and 56,120 tonnes of wheat – $10.78 million, however, their price fell compared to last year, respectively, from $208 per tonne to $174 per tonne and from $268 per tonne to $192 per tonne.
Net cash flow from operating activities for nine months of 2023 amounted to $10.06 million, while for nine months of last year it was negative – $9.37 million.
The volume of investments increased by 79% – to $5.80 million, and taking into account less than $2 million of outflow from financial transactions, the net cash flow turned out to be positive – $2.3 million versus a negative result of $11.63 million for nine months of last year.
