Bogdan Motors’ revenue grows by 38% y-o-y in 2010

Bogdan Motors (UX: LUAZ UK) reported UAH 1,708.0 mln in net revenue (up 38% y-o-y) in 2010, according to Ukrainian accounting standards, the company said on Friday. Bogdan’s net loss declined 2.5x y-o-y to UAH 255.5 mln in 2010 from UAH 621.6 mln in 2009, while EBITDA margin improved to a solid 11% in 2010 from 6.8% in 9M10 and -23% in 2009. Yegor Samusenko: We see 38% sales growth in 2010 as impressive on the background of a flat auto market. Bogdan was able to achieve the growth thanks to export sales of Bogdan branded budget segment cars to Russia and sales of Hyundai imported cars, which it started in November 2010 (previously Hyundai cars were sold by another entity within Bogdan Corporation). In 2011, we expect the company to post impressive 3x y-o-y sales growth thanks to a USD 130 mln order for tour buses received in December 2010 for Euro-2012, sales of imported Hyundai cars and a 48% increase in sales of cars assembled in-house.