Ukrproduct expects lower sales, gross profit and PBT in 2009

Ukrproduct (UKR LN), in a trading update released yesterday, said it expects full-year 2009 sales gross profit and profit before tax to be less than last year’s figures. The company, without providing specific figures, said sales would be no less in 2H09 than 1H09, but that yearly results would be affected by the devaluation of the UAH vs. GBP. At the same time, Ukrproduct said its gross profit and PBT in 2H09 would be below 1H09. Ukrproduct said it was experiencing strong demand for butter, its largest product in terms of sales, in addition to hard cheese, and skimmed milk powder. The company said it introduced new cost savings in 2H09, including the closing of its Zhmerinka plant. Ukrproduct said its cash was sufficient to meet short and medium term debt obligations and that it had access to banking facilities, if required.