The amount “comprises investments in production”, which “will be financed from the current amortisation, current revenues from operational activities, and bank loans”, the company said in its financial report for the first quarter of 2019.
In the report, the turkey meat business said its supervisory board had approved an investment plan for the Indykpol capital group, worth some PLN76.6m (€17.8m), of which its main entity, Indykpol SA, is to spend about PLN70m.
Compared with the first quarter of 2018, the company reported lower revenues year-on-year, at PLN230.54m (€53.7m). However, this was due to Indykpol’s decision to focus on turkey meat products, and its turkey meat sales grew by about 1.7% compared with the same period a year earlier, according to data from the quarterly report.
Foreign sales on the rise
While the Polish market remains the main source of the company’s revenues, at 74.8% of its quarterly sales, Indykpol also exports its products to a number of foreign markets, predominantly to other European Union member states. In the first quarter of this year, export sales generated PLN58.21m (€13.6m), which represented a 6.7% increase compared with the same period in 2018, as shown by figures from the financial report.
From January to March 2019, some of the firm’s main export destinations included the UK, Germany, the Netherlands, Belgium, Ireland, Greece, Spain, France, Bulgaria, Lithuania, Hungary, and Romania. Outside the EU, Indykpol said it also exports its products to China and Ukraine, among others. Due to the company’s decision to focus on the turkey meat segment, Indykpol reported lower sales in a majority of these markets in the first quarter of 2019. However, the company’s expansion to two new markets, Greece and Spain, generated about PLN18.1m (€4.2m) in new sales, compared with the January-March 2018 period.
It is billed as Poland’s largest turkey meat processor. Indykpol offers a wide range of turkey meat products, including hams, frankfurters, sausages, pâtés, and others.