Annual Financial Report
SIA AgroCredit Latvia Audited Annual Report 2018 and Corporate Governance Report
Mārupe, Latvia, 2019-04-30 07:54 CEST --
2018 was a challenging year for grain growing sector. Rainy Autumn of 2017 and struggling with winter-crop seeding was followed by extra dry Spring/Summer of 2018 which resulted in poor grain yields. Taking into an account the current conditions AgroCredit switched to more conservative credit policy and thus failed to fullfil the portfolio growth forecasts, but managed to remain the quality of the portfolio in previous high level.
The total interest income grew slightly in 2018, but the net profit margin returned to normal level after 2 year decreased profit due to making provisions according to the approved methodology. Respectively the net profit exceeded 200 tEUR and was nearly 2 times higher than a year before.
The Company plans 15-20% portfolio growth in 2019. The priorities set for the year 2019 include activation of direct sales channel, diversification of funding sources and development of IT solutions.
About SIA AgroCredit Latvia
The company is operating since 2011 and grants specialized financial services to the farmers, mainly grain growers. The seasonal financing is offered to the customers to finance the purchases of raw materials and other current assets. The loans are repaid after the harvest and sales of grain.
Chairman of the Board
Phone +371 29445225