EkoNiva Group, Russia’s largest dairy holding, presents the preliminary results of its unaudited consolidated IFRS statements for 2022.
The Group’s sales revenue rose by 31% to total 66 billion rubles. In euros, it grew by 64% to 957 million. As in the previous reporting period, raw milk production, the company’s core business, accounted for 56% of the total revenue in rubles and 55% in euros (2021: 58% in both currencies). With that, EkoNiva continues to ramp up processing – the revenues of the corresponding division went up by 75% to 12 billion rubles (2.2 times to 174 million euros). The share of the profit from milk processing exceeded 18% in rubles and euros increasing by more than a third over the year (2021: 13% in both currencies).
EkoNiva Group’s comprehensive income for 2022 amounted to 77.8 billion rubles versus 57 billion in 2021 (+36%). In euros, this figure increased by 1.7 times to 1.1 billion (2021: 657 million).
The earnings before interest, taxes, depreciation and amortisation (EBITDA) for 2022 totalled 26.5 billion rubles (2021: 16.5 billion) or 399 million euros (2021: 188 million). The Group improved significantly, exceeding the result of 2021 by 60% in rubles and more than doubling it in euros. The company continues to generate a consistent cash flow to service its obligations and reduce the debts.
‘2022 was a challenging and turbulent year, which, however, did not prevent EkoNiva Group from delivering its best-ever performance. Thus, the adopted business model has fully proved its worth. We have accomplished our objectives thanks to the efficient vertical integration, business diversification and, of course, concerted efforts of our employees. The cash flows from 18 modern dairy farms built between 2017 and 2020 have reached the targets enabling the company to significantly reduce its debt burden. The well-defined positioning of our dairy brand, balanced portfolio, including cheeses as the most profitable items, together with the expansion of our partner pool have become the drivers of rapid revenue growth in the processing segment. As a Russian market leader, we intend to stick to our strategy for providing Russian people with natural high-quality dairy products and for developing exports’, commented Stefan Dürr, EkoNiva Group President.