Ukraine's Agrarian Fund sees 66.7% decline in net profit in 2016

"Net revenue is projected at UAH 48.5 million. Our financial plan has been fulfilled by 101%," the fund's press service quoted acting Chairman of the Agrarian Fund's Board Andriy Radchenko as saying.

At the same time, the company's revenue shrank by 26.2% last year, to UAH 2.14 billion.

The company's financial results are in line with the forecasts and demonstrate the fund's stable operation, Radchenko noted.

The Agrarian Fund's profit in 2015 was UAH 154.6 million (the plan was fulfilled by 243%), but then it was mainly due to the effect of a low comparative base and the crisis the company had to overcome, he said.

Read alsoMinistry of Agrarian Policy names main priorities of its work in 2017In 2016, the Agrarian Fund sold 240,000 tonnes of flour. Thus, the company's share in the Ukrainian market of flour last year rose to 12.2% from 11.8% in 2015, according to the fund's press service.

In December 2015, the Agrarian Fund started to market own brand of flour in the retail segment. Further, buckwheat and oatmeal marketed under the Agrarian Fund trademark appeared on the retail market in 2016.

The company also plans to expand the range of its products in 2017 and launch the sale of cereals, namely semolina, under its brand in retail outlets. What is more, the Agrarian Fund wants to start selling packaged sugar, the press service added.

As UNIAN reported earlier, the Agrarian Fund in 2015 reduced net profit 76.8%, to UAH 154.6 million, from 2014. Its net revenue amounted to UAH 2.9 billion, which was 3.7% up from 2014.

The Agrarian Fund was created in 2013. It is in charge of grain purchases under forward contracts to prop up Ukrainian farmers. It not only buys and sells grain, but also markets flour and cereals.