AgroGeneration is a leading grain and oilseed producer with a sound business model that can generate profit despite the continuing unfavorable economic environment.
The company was able to maintain its EBITDA in line with the previous year. Owing to its reliability and creditworthiness, the financing for 2016 sowing campaign was secured much faster than in 2015. All of this was achieved through the reduction of debt, successful financial restructuring and generation of cash flow.
AgroGeneration will pursue its development, which is secured by major prepayment agreements, even though the commodity prices will drop, as evidenced by a consensus of experts.
Last year the company produced 376,000 tons of grain and oilseed crops outperforming the average yields in Ukraine. AgroGeneration has also increased the size of its arable land up to 108,000 hectares. In general, 338 thousand tons of agricultural products were sold by the end of the previous year amounting to almost EUR 60 million.
AgroGeneration’s CEO John Shmorhun said that the last year was challenging for all agricultural firms. Yet, the company’s performance was comparable to previous years, making a successful start at the beginning of the new year. With the increase of its land bank, the Group plans to harvest 110,000 ha. This is the outcome of tedious work done by a professional team that set clear tasks and fulfilled them successfully.
General Information. AgroGeneration is an international company founded in 2007. It is one of the 5 largest grain and oilseed producers in Ukraine. It has a land bank of 120,000 ha of arable land. The company successfully leases high-potential farmland. AgroGeneration’s main ambition is to meet the food challenges of tomorrow as global consumption doubles in scale between now and 2050.
Based on the information of AgroGeneration
The article was originally written in Ukrainian and translated by AgroGeneration