The domestic fruit, starch and sugar group Agrana processes fruit in a plant south of Moscow (300 employees) and at two locations with 800 employees southwest of the Ukrainian capital Kyiv. Despite the war, the Ukrainian plants are working at 60 to 70 percent capacity, said Agrana boss Markus Mühleisen at the annual balance sheet presentation.
Most recently, the Ukraine accounted for around 1.7 percent of group sales and Russia for around two percent. In 2021/22 (until the end of February) this increased by 13.9 percent year-on-year to EUR 2.9 billion, mainly due to price increases. For consumers, the prices for sugar and fruit yoghurt will rise in supermarkets this year.
However, the consolidated result turned from 55 million euros in 2020/21 to minus 12.2 million euros. The need for depreciation and impairment due to the Ukraine war amounted to around 71 million euros.
Business was impacted by sharp increases in raw material and energy prices. Strong profits in the bioethanol and starch business, according to Agrana CFO Stephan Büttner the “lifeline”, were offset by losses in the fruit and sugar business. “Up until the outbreak of war we were right on course and would have achieved a significant increase in EBIT had it not been for the negative result from special wartime influences,” says Büttner.
The plans of the German Environment Minister to limit the use of biofuel from grain and other plants by law are not good news for Agrana. The dividend proposal for 2021/22: EUR 0.75 (0.85) per share.
Source: Nachrichten
