Astarta’s 1H09 revenues amount to UAH 499 mln

This morning Astarta (AST PW) released its semiannual 1H09 report. The company reported revenues during the period of UAH 499.0 mln, up 52.8% yoy (in Euros, EUR 46.4 mln, up 8.8% yoy); EBITDA of UAH 269.2 mln, up 68.0% yoy) (EUR 25.1 mln, up 20.2% yoy); and net profit of UAH 200.6 mln, up 51.9% yoy (EUR 18.7 mln, up 9.1% yoy). Astarta increased its area planted with sugar beets by 14% in 2009 to over 34 ths ha, and boosted its sugar sales 1.6% yoy to 41.6 ths mt. Andriy Gostik: The company’s reported high EBITDA margin of 54.1% in 1H09 is explained by the non-cash item ‘Changes in fair value of biological assets’, which contributed 78% to EBITDA. For the same period last year, this item comprised only 56% of the sugar maker’s EBITDA. Gross margin in 1H09 was 17.7% vs. 24.9% in 1H08. Overall, Astarta’s financial results for 1H09 are quite positive in the current environment, in our view, though the stock does not look cheap.