31 August 2016
Milkiland reported its 1H 2016 financials with EUR 74M sales (-23% to 1H 2015), EUR 3.4M EBITDA and net loss of EUR 15.1M. As situation on target Russian and Ukrainian market remains tough, the company struggles to increase volumes of its operations following significant decline during last two years related to Russian ban on Ukrainian dairy production export (Milkiland was one of the largest Ukrainian hard cheese exporters to Russia). The company tries to develop hard cheese production and sales in Russia and to find new export markets for its products, while its main operations – whole milk production in Russia and hard cheese in Ukraine are barely profitable. Debt burden remains high (EUR 107.6M), on positive side is recent restructuring of USD 14.5M loan in Credit Agricole bank, but restructuring of main credit facility – syndicate loan in amount of USD 58.6M – is still pending.