Poultry exports continue to soar for MHP
Exports grew from 52,990 tonnes (t) to 80,361 t in comparison to last year’s third quarter results. For the nine months, increased exports to the EU and the Middle East and North Africa (MENA) hiked up chicken meat exports by 22% from 176,015 t to 213,925 t.
Poultry production volumes were also positive during the third quarter and nine months, growing from 137,005 t to 150,650 t and 424,700 t to 458,540 t, a 10% and 8% jump respectively.
Total revenue for the business increased by 19% year-on-year from US$370m to US$442m, while for the nine months total revenue grew by 17%.
“These latest figures show the fundamentals of our business are strong with significant increases in production, exports and revenues in both Q3 and the year so far,” said MHP’s chief financial officer Viktoria Kapelyushnaya
“MHP currently exports to more than 60 countries and we are pleased to see growth continue, particularly in the Middle East and North Africa.”
However, foreign exchange translation losses and reductions in government grant incomes, resulted in a net loss of US$48m for the business in the third quarter compared to net profit of US$41m for 2017’s results.
MHP’s chief financial officer Viktoria Kapelyushnaya added that despite the foreign exchange translations, the business aims to become a major global player in the poultry industry.
Operating profits fell to US$71m year-on-year, a 17% decrease, while operating margins also fell by 16% in the third quarter.
Since the second quarter, the agro-industrial firm has launched new production sites at its Vinnytsia Poultry complex, including three rearing sites, as well as increasing capacity at its slaughterhouse.
The business revealed a year ago that it would be doubling its production performance at the Vinnytsia Poultry farm by 520,000 t per year by 2021.
The success in poultry exports significantly builds on the businesses first quarter results as export sales represented around 47% of total poultry sales.
