MHP boosts net revenue 23% yoy in 1H09

Mironivskiy Hliboproduct (MHPC LI) released its 1H09 and 2Q09 unaudited financial results this morning: it posted net revenue of UAH 2,337 mln, up 23% yoy (in US dollars, USD 304 mln, down 20% yoy), EBITDA of UAH 976 mln, up 22% yoy (USD 127 mln, down 21% yoy), and net income of UAH 689 mln, up 23% yoy (USD 90 mln, down 20% yoy). The company’s consolidated EBITDA margin remained stable at 42%. MHP was able to increase all its key financial indicators in 2Q09 from 1Q09 and 2Q08 in local currency. As reported earlier, MHP’s volume of poultry meat sales in 2Q09 increased 20% yoy. MHP harvested 38.3 ths mt of rapeseed from 14.4 ths ha. It had an average rape yield of 2.7 mt/ha, 66% higher than the Ukrainian average. MHP also finished wheat harvesting, achieving a current average yield of 5.7 mt/ha. Andriy Gostik: MHP’s results confirm that the company is doing well in the difficult environment and that management is proving adept at delivering on their plans. It looks like the company’s 2009 full-year results should beat our previous USD 600 mln projection for sales and USD 234 mln projection for EBITDA.