May 24, 2012

Cherkizovo achieve a first quarter rise of net profit, up by 114% on-year to US$39.3 million under US GAAP, the company revealed.

Cherkizovo's net profit was above a consensus forecast of analysts polled by RIA Novosti of RUB1.1 billion (US$35.4 million) with first quarter adjusted EBITDA jumping 74% to US$60.8 million and revenue increasing 16% on-year to US$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% 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 US$0.91 per share compared with US$0.43 per share in the same period last year. The company's net debt increased to US$775 million in the first three months of 2012 from US$719 million in the fourth quarter of 2011.