Nibulon largely improves financial performance

18 December 2023

In the first nine months of 2023, one of the biggest Ukrainian grains exporter Nibulon almost doubled its turnover, net profit reached UAH 800 million.

According to the financial statements of the Nibulon, the company's revenue for the nine months of 2023 amounted to UAH 17 billion (compared to UAH 9.8 billion for January-September 2022).

The increase in sales was primarily due to the increase in grain and oilseed exports from Ukraine - despite the death of the company's founder and owner, Oleksiy Vadaturskyi, and the destruction of the company's entire business model as a result of Russian aggression, Nibulon remains one of the largest Ukrainian exporters.

The company was one of the first to build grain transshipment facilities on the Danube after the start of the full-scale invasion. Newly constructed asset actually helped Nibulon to survive the most difficult times. Due to the unstable operation of brokered by the UN and Turkey grain corridor during the 2022/23 season (we can note high demurrage and detention costs of exporters associated with delays in the inspection of vessels in Istanbul), as well as the suspension of the operation of the grain corridor in mid-July, while working stably on the Danube, Nibulon had a good profitability of operations.

For the first nine months of 2023, Nibulon's EBITDA is estimated at 2.6 billion UAH (compared to a loss of -3 billion UAH for January-September 2022), net profit - 828 million UAH.

The main financial problem of Nibulon remains a large debt burden. According to the company's official reporting data, as of the end of September, it amounted to UAH 17 billion, with inventory of about UAH 6 billion. The financial condition of Nibulon remains weak, in case of the market situation worsening, the company's ability to service its debts remains doubtful.