Ukraine's MHP increases revenue from vegetable oil sales by almost one-third

MOSCOW. May 3 (Interfax) - MHP Agroholding, Ukraine's largest producer of chicken meat, increased sales of vegetable oils and related products 31% in monetary terms in 2023 compared to the previous year to $606 million (group revenue increased 14% overall to $3.021 billion).

Sales volumes of sunflower oil increased 70% to 466,900 tonnes, and soybean oil rose 24% to 50,800 tonnes, Ukrainian media reported, citing the holding's report on the London Stock exchange.

The growth came because of an increase in the production of sunflower cake, the commissioning of additional production capacities, changes in recipes and the partial restoration of logistics routes, the report said.

The business segment's adjusted EBITDA increased 13% to $80 million.

Sales volumes of vegetable oils decreased 22-23% in Q4 last year both compared to the previous quarter and to the same period in 2022 to $114 million, while adjusted EBITDA fell to $9 million from $21 million in Q3 and $37 million in Q4 2022.

Sales volumes of sunflower oil decreased 26% versus the previous quarter and 2% versus Q4 2022 to 94,200 tonnes. Sales of soybean oil reached 11,600 tonnes, a 5% increase versus the previous quarter and 14% less than in Q4 2022.

MHP is the largest chicken producer in Ukraine. It is also engaged in the production of grains, sunflower oil, and meat products.