Ukraine’s largest chicken producer, MHP Agroholding, has recorded a 67% decline in profits, reaching a net profit of USD 16 million in the first quarter of the year — less than a third of the USD 49 million achieved in the first quarter of 2023, according to a London Stock Exchange report. The report notes that this reduction is attributable to a foreign exchange loss of USD 40 million, in contrast to a gain of USD 4 million in the same period of the previous year.
The report highlights that the company’s turnover between January and March 2024 fell by 4%, standing at USD 719 million. Notably, exports declined by 2.6%, to USD 453 million (63% of total turnover). Furthermore, it is underlined that war-related expenditure in the first quarter amounted to USD 10 million, compared to USD 6 million recorded in the first quarter of the previous year.
As a result of the bombing raids on 17 May 2024 in the Odesa region, a warehouse leased by the company to store frozen poultry products was completely destroyed, resulting in losses of USD 8 million. The company has also acquired alternative energy sources to maintain uninterrupted production in the event of power outages.