ROS AGRO PLC trading update 9M and Q3 2017

20 October 2017 - Today ROS AGRO PLC, the holding company of Rusagro Group, a leading Russian diversified food producer with vertically integrated operations, has announced preliminary operating results for Q3 and 9М 2017.

9M 2017 highlights compared to 9M 2016:

  • Total revenue before intersegment eliminations amounted to RR 58,478 million, a decrease of RR 358 million (-0.6%);

  • Revenue of Sugar segment decreased by 11% to RR 20,994 million due to sugar sale price drop of 21%, which was partially compensated by sales volume growth;

  • Meat segment showed upsurge in revenue of RR 2,699 million (+22%) as the result of its strategy to grow sales of the cuts (+64%) and а price rise;

  • Revenue of Agriculture and Оil & fats business declined by 2% and 1% to RR 8,060 and 14,233 million respectively;

  • Sugar segment increased beet sugar production by 44% to 347 thousand tonnes.

Key preliminary operational results by segment:

Item

9M 2017

9M 2016

Change,

%

Q3 2017

Q3 2016

Change,

%

Sugar Business

Revenue, million RUB

20,994

23,605

-11%

6,392

8,386

-24%

Production volume, thousand tonnes

347

241

44%

211

173

22%

beet sugar

347

179

95%

211

173

22%

cane sugar

-

63

0%

-

-

0%

Sales volume, thousand tonnes

584

532

10%

193

189

2%

Average white sugar price, rub/kg excl. VAT

33.1

42.0

-21%

31.4

41.7

-25%

Meat Business

Revenue, million RUB

15,191

12,493

22%

5,154

4,635

11%

Production volume, thousand tonnes

livestock

153

143

7%

51

50

2%

compound feed

454

439

4%

148

148

0%

Sales volume, thousand tonnes

livestock

46

49

-7%

11

16

-31%

carcass

21

26

-19%

8

9

-8%

cuts

49

30

64%

18

11

60%

other pork cutting products

9

4

132%

4

2

66%

Average sale prices, rub/kg excl. VAT

livestock

97.2

89.3

9%

97.4

97.5

0%

carcass

129.7

124.6

4%

132.4

137.5

-4%

cuts

151.6

145.5

4%

155.1

154.0

1%

other pork cutting products

49.9

49.6

1%

51.6

42.7

21%

Oil and Fat Business

Revenue, million RUB

14,233

14,560

-2%

4,612

2,912

58%

Sales volume, thousand tonnes

mayonnaise

44

52

-17%

13

19

-32%

margarine

24

25

-4%

8

8

3%

bottled oil

11

13

-14%

4

3

38%

bulk oil

120

90

32%

41

4

976%

meal

183

141

30%

46

16

198%

Average sale prices, rub/kg excl. VAT

mayonnaise

80.6

77.0

5%

83.6

77.9

7%

margarine

77.5

73.9

5%

77.3

80.0

-3%

bottled oil

58.8

74.5

-21%

56.3

78.8

-29%

bulk oil

42.1

54.4

-23%

44.1

50.1

-12%

meal

16.2

18.3

-11%

15.6

20.6

-24%

Agriculture Business

Revenue, million RUB

8,060

8,179

-1%

3,054

3,632

-16%

Sales volume, thousand tonnes

barley

80

193

-58%

55

166

-67%

sugar beet

1,486

909

63%

1,033

909

14%

wheat

308

143

116%

124

18

577%

sunflower

49

33

49%

-

-

-

soybean

50

80

-37%

5

3

46%

corn

74

50

49%

3

-

0%

other

6

2

175%

2

2

46%

Average sale prices, rub/kg excl. VAT

barley

6.3

8.0

-21%

6.1

7.6

-20%

sugar beet

1.9

2.3

-20%

1.8

2.3

-25%

wheat

6.5

8.4

-23%

5.4

5.9

-7%

sunflower

15.6

23.6

-34%

-

-

-

soybean

19.6

21.8

-10%

20.5

20.0

2%

corn

8.6

8.5

1%

5.3

-

0%

other

4.5

5.2

-14%

6.6

3.7

79%

Key operational results by segment - historical:

Item

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

9М

2016

9М

2017

Sugar Business

Revenue. million RUB

5,877

9,342

8,386

13,634

7,410

7,192

6,392

23,605

20,994

Production volume, thousand tonnes

0

65

173

572

122

15

211

241

347

Sales volume, thousand tonnes

125

219

189

334

196

193

193

532

584

Average white sugar price, rub/kg excl. VAT

44.0

41.1

41.7

35.4

33.4

34.4

31.4

42.0

33.1

Meat Business

Revenue, million RUB

3,615

4,243

4,635

5,359

4,732

5,305

5,154

12,493

15,191

Sales volume, thousand tonnes

livestock

16

18

16

26

21

14

11

49

46

slaughtered

21

20

23

22

23

30

30

60

79

Average sale prices, rub/kg excl. VAT

livestock

82.4

88.2

97.5

96.2

93.9

102.1

97.4

89.3

97.2

slaughtered

111.7

123.3

129.8

130.4

120.1

130.7

135.9

121.8

129.6

Oil and Fat Business

Revenue, million RUB

5,748

5,901

2,912

5,304

4,368

5,253

4,612

14,561

14,233

Sales volume, thousand tonnes

mayonnaise

14

19

20

25

16

15

13

52

44

margarine

10

7

8

12

9

7

8

25

24

bottled oil

5

5

4

9

5

3

4

90

120

bulk oil

39

47

2

43

24

54

41

13

11

meal

70

56

14

59

69

67

46

141

183

Average sale prices, rub/kg excl. VAT

mayonnaise

75.7

76.9

77.9

76.2

77.1

82.3

83.6

77.0

80.6

margarine

69.4

73

80

79.2

78.1

77.5

77.3

73.9

77.5

bottled oil

75.6

70.9

84.4

65.3

62.1

57.3

56.3

54.4

42.1

bulk oil

57.8

51.9

51.2

48.3

44.2

40.9

44.1

74.5

58.8

meal

18.8

17

14.2

18.2

16.2

16.5

15.6

18.3

16.2

Agriculture Business

Revenue, million RUB

3,362

1,184

3,632

12,976

3,670

1,336

3,054

8,178

8,060

Sales volume, thousand tonnes

barley

12

16

166

212

12

13

55

193

80

sugar beet

0

0

909

2,889

452

0

1,033

909

1,486

wheat

87

38

18

242

164

16

124

143

308

sunflower

33

0

0

17

18

31

0

33

49

soybean

56

21

3

101

31

15

5

80

50

corn

40

9

0

41

38

33

3

50

74

Average sale prices, rub/kg excl. VAT

barley

10.4

10.0

7.6

7.1

7.1

6.6

6.1

8.0

6.3

sugar beet

-

-

2.3

2.4

2.1

-

1.8

2.3

1.9

wheat

8.9

8.5

5.9

6.4

7.4

6.8

5.4

8.4

6.5

sunflower

23.6

-

-

18.1

16.7

15.1

-

23.6

15.6

soybean

22.4

20.5

20.0

20.7

19.9

18.9

20.5

21.8

19.6

corn

8.5

8.6

-

7.6

9.3

8.1

5.3

8.5

8.6

For further details please contact:

SVETLANA KUZNETSOVA

Head of Investment Department Tel.: +7 (495) 363-1661

E-mail: ir@rusagrogroup.ru

Rusagro plc published this content on 20 October 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 20 October 2017 09:46:06 UTC.

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