IMC harvests 6% more winter wheat on 11% less acreage in 2017

Ukrainian farmer IMC (IMC PW) reported on Aug. 14 it has
completed its harvesting campaign of winter wheat with its crop yield being 19%
higher yoy at 5.7 t/ha. The company produced 78.1 kt of wheat (6% yoy higher)
from harvesting an area of 13,700 ha (11% yoy lower).

Alexander Paraschiy: The company’s results are encouraging, but definitely not indicative
of its full-year performance as wheat only accounts for 12% of its total grain
and oilseed acreage for its 2017 harvest. The company is focusing on corn (58%
of grain and oilseed acreage this season) as tradition. This year, it has
focused more on soybeans, expanding its planted area by 72% yoy to 11,000 ha, a
decision prompted by the high yield of this crop recorded last year. IMC
remains among our top equity picks.