21 Nov 2019 10:12

Cherkizovo reduces capex 17% to 6.2 bln rubles in Jan-Sept

MOSCOW. Nov 21 (Interfax) - Cherkizovo Group , one of Russia's leading meat producers, reduced capital expenditures by 17.3% year-on-year to 6.2 billion rubles in the first nine months of 2019 amid the reduction of investment in "major capital-intensive projects," the company reported.

The group's net debt stood at 62.4 billion rubles as of September 30, 2019, up from 51.1 billion rubles a year earlier. The gross debt grew to 65.5 billion rubles from 53.8 billion rubles. Long-term debt accounted for 51% of the debt portfolio and amounted to 33.4 billion rubles. The effective cost of debt was 5.9% as of September 30, 2019.

Subsidized loans and credit facilities made up 40% of the debt portfolio in the nine months, up from 33% a year earlier. Total government grants for compensation of interest expense recognized in profit and loss amounted to 1.3 billion rubles.