Cherkizovo Meat Q1 Net Profit Soars 114% to $39.3 Mln

Cherkizovo Group, one of Russia’s leading meat producers, saw 2012 first quarter net profit jump 114 percent year-on-year to $39.3 million under US GAAP, the company said in a statement on Wednesday.

Cherkizovo’s net profit was above a consensus forecast of analysts polled by RIA Novosti of 1.1 billion rubles ($35.4 million) with first quarter adjusted EBITDA jumping 74 percent to $60.8 million and revenue increasing 16 percent year on year to $357.8 million.

“In the first quarter of 2012 we delivered an excellent performance, in line with our targets. Net income showed a record 114 percent growth, driven by strong performance in the poultry segment, high pork prices, the efficient restructuring of the meat processing division and the decrease in grain prices,” Cherkizovo CEO Sergei Mikhailov said in the statement.

Earnings per share in the first quarter of 2012 climbed to $0.91 per share compared with $0.43 per share in the same period last year. The company’s net debt increased to $775 million in the first three months of 2012 from $719 million in the fourth quarter of 2011.

 

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