March 8, 2024
Despite increased sales and profitable operations, the company's financial standing remains weak.
According to the official financial statements of the Nibulon company, which is available on the official portal of the State Statistics Service of Ukraine, its turnover in 2023 amounted to UAH 22.9 billion, which is 50% higher than in 2022 (UAH 15.2 billion).
The company's gross profit (the difference between the selling price and the cost of goods) in the reporting year amounted to UAH 3.2 billion (UAH 1.1 billion in 2022), net profit – UAH 310 million.
Overall, 2023 was a much better year for Nibulon compared to the previous one. The company maximized transshipment of grain and oilseeds through the river terminal in Izmail (with subsequent shipment to Romanian port Constanta), and, according to our estimates, exported out of Ukraine in Y2023 from 2.3 to 2.5 million grain and oilseed crops.
It can be additionally noted that, as of the current moment, Nibulon was able to re-launch its operating activities at a large scale after the entire operating model of the company, built on the purchase of grain at river terminals and subsequent delivery to the port of Mykolaiv by barges, was destroyed.
The company's profit in 2023 was sufficient to cover interest on loans - the amount of financial expenses (interest on loans) according to the financial statements for 2023 amounted to UAH 1.4 billion.
However, the amount of the company's debt as of December 31, 2023 was UAH 17.8 billion (UAH 16.4 billion as of December 31, 2022), so even with relatively good profitability of the group in 2023, it is difficult to expect that it will be able to repay a significant amount of its loans in the coming years.
If the market situation changes for the worse (for example, the flow of Ukrainian grain in the direction of Romanian Constanta will drop significantly, so will Nibulon’s profitability of operations, while the port of Mykolaiv will remain blocked), the financial situation of the company and, accordingly, its ability to repay its debts, will worsen.