Astarta boosts corn sales 2.7x, cuts sugar sales 17% in 1H19
25 July 2019
Ukraine’s leading sugar producer and farmer Astarta
(AST PW) sold 153.4 kt of sugar in 1H19 (17% less yoy), according to its July
25 trading update. Its average sugar price decreased 9% yoy in 1H19 to UAH 10.0
per kg. Its sales of key crop, corn, surged 2.7x yoy to 512 kt, while its
average price was flat yoy at UAH 4.6 per kg. It also boosted sales of soybean
meal by 19% yoy to 93 kt, but its average price dropped 7% yoy to UAH 9.9 per
kg. Its milk sales fell 7% yoy to 50.5 kt, but its average price improved 14%
yoy to UAH 9.0 per kg in 1H19.
Alexander Paraschiy: Based on the released numbers, we estimate Astarta generated about EUR
218 mln in net revenue in 1H19, which is 25% more yoy. Most likely, its 1H19
EBITDA will be slightly weaker than a year before (vs. a 2% yoy increase in 1Q19) as prices for all its key products (sugar, corn,
soybeans) remain weak.
