Gradus posts BGN 76m in revenues and BGN 12.9m in net profit in H1 2018

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Gradus

Newly-listed poultry producer Gradus (GR6 BU) posted consolidated BGN 76m in revenues and BGN 12.9m in net profit in H1 2018, according to Company’s latest financial statements. Of the BGN 76m, sales revenue made up BGN 64.4m, while other income added BGN 11.6m to the overall top line.

In Q2 2018 alone, Gradus generated BGN 26.4m from sales, marking a 30.5% drop compared to Q1 2018, and BGN 900k in net income, 13x lower compared to the BGN 12m net result in the first quarter of the year. EBITDA in Q2 2018 was BGN 2.5m compared to BGN 15m generated in Q1 2018.

In H1 2018, 52% of the Company’s revenue or BGN 33.4m, came from its meat segment, 31% or BGN 20.2m from its hatching eggs segment and 17% or BGN 10.8m from grain trading. The geographic sales distribution during the first six months was as follows: 57% or BGN 36.3m were generated in Bulgaria, 17% or BGN 11.1m – in Europe and 26% or BGN 16.9m – in third countries.

Gradus arrived on the stock market with the second largest IPO

Back in June, Gradus raised BGN 81.4m from its IPO, the latter being the second largest IPO on the Bulgarian stock market. The Company placed 45.22 million shares at BGN 1.80 per share raising BGN 79.1m during its IPO auction that took place on 18th and 19th June.

Gradus plans the proceeds from the IPO for the implementation of its 2020 strategy. The latter targets the introduction of new poultry products, increase in hatching eggs business production, diversification of pork products portfolio, entrance into the HoReCa sector, as well as possible acquisitions.

About Gradus

Established in 1992, Gradus is the biggest vertically integrated poultry producer in Bulgaria with a 35% local poultry market share. With total gross built-up area of 500k m2, it owns Balkan’s biggest slaughterhouse with 8 000 chickens/hour capacity, 250+ broiler and parent breeding farms, three hatcheries and a grain storage facility with 95k tons annual fodder capacity.

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