Linas Agro Group
AB Linas Agro Group performance and financial results for 9-month period of FY 2019/20
Consolidated revenue was 9.6 % less and totaled EUR 476 million.
Sales volume reached 1.67 million tons of various products and was 3.2% less as compared to previous year.
The gross profit reached EUR 27.1 million and was 11,8 % higher than a year before. Consolidated EBITDA was 74 % higher and amounted to EUR 11.8 million. The operating profit was EUR 2.9 million (last year there was an operating loss of EUR 1.2 million). Profit before taxes amounted to EUR 0.67 million (compared to a loss of EUR 3.6 million in the previous year). Net profit attributable to the Group amounted to EUR 0.64 million (previous year there was a loss of EUR 3.5 million).
A brief comment by Finance Director Mažvydas Šileika:
Trade in grains, oilseeds and feedstuffs has been affected by the pandemic as the borders of the countries were closed, and the value of some stocks that haven’t been sold before quarantine has declined during the quarantine. Sales fell 16% to EUR 305 million. However, the operating profit was more than four times higher and amounted to EUR 3.5 million.
Revenue from goods and services to farmers grew by 6% to 106 million. The operating profit of this business was almost 13 times higher and amounted to EUR 1.8 million. Sales of fertilizers, certified seeds, plant care products, micronutrients, new and used new agricultural machinery, and spare parts went up; revenue agricultural machinery service also increased. Sales of equipment for grain elevators and farms have shrunk; such equipment requires big long-term investments and therefore not the pandemic is to be blamed for decrease, but deteriorating economic situation of farmers.
Group-owned agricultural companies sold 14% more production than a year before, their total revenue went up 5% to EUR 24 million, but EUR 1.5 million operating loss was sustained. Although the Group sold 6.5% more milk than in the respective period a year before, milk sales income shrank by 1.2% due to lower milk purchase prices. Sowing in agricultural companies was not hampered by the pandemic.
Poultry companies sold 5% less poultry and poultry products, but their revenues remained stable at EUR 57 million, and operating profit increased four times to EUR 2.8 million.
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AB Linas Agro Group Consolidated unaudited Financial Statements and Interim Activity Report for 9-month period of FY 2019/2020 that ended 31 March 2020.