St Helier, Jersey, 2014-05-16 08:00 CEST (GLOBE NEWSWIRE) -- Significant loss on Forex in Q1. Good progress in Spring Seeding Campaign
97% y-o-y increase in tons sold in 1Q14 but average sales price declines 35% y-o-y to USD193 per ton
Q1 gross profit of USD1.3mn as higher export prices realized in 1Q14 versus YE13 inventory value
Forex loss of USD8.2mn depressed net income as the Russian ruble depreciated over the quarter
Minimal winter kill so far with good general conditions for 2014 crop to date
Q1 2014 Highlights (vs. Q1 2013)
- With this report, the company moves to report with USD as presentation currency
- Sales volumes of 129 thousand tons (66) at average price per ton of USD193 (298)
- Sales revenue of USD25.4mn (19.9)
- Operating loss of USD-9.3mn (-10.6)
- Gain/loss on FOREX of USD-8.2mn (-1.0)
- Net loss of USD -19.6mn (-13.9)
- Net loss per share of USD-0.09 (-0.06)
- Operating cash flow of USD-3.5mn (2.8)
Events after the Reporting Period
- 2014 Crop; Continued operational progress with spring seeding 93% complete as of 15 May. Total 2014 crop area expected at approximately 185 thousand hectares.
- On 4th April 2014, the Company announced plans to divest 27,754 hectares of land and related real estate in the Voronezh region for a total of USD21.1mn.
- In April, the Company bought back USD3.8mn of its bonds outstanding.
CEO Comment Highlights (p.2 in report)
|
- Market Development - Q1 Sales & 2014 Financials - Spring Seeding & 2014 Crop Area - 2014 Revenue Risk Management - Voronezh land sale |
Financial Overview (p. 4 in report)
USD million Q1 2014 Q1 2013
Total Revenues & Gains 26.2 18.3
Gross Result 1.3 (4.8)
EBITDA (5.7) (8.5)
EBIT (9.3) (10.6)
Loss on FX (8.2) (1.0)
Net Income (19.6) (13.9)
Please see attachment for complete report.
Webcasted Telephone Conference Details:
Date: Friday 16 May 2014
Time: 09:00 CET
Hosts: Black Earth Farming CEO – Richard Warburton
CFO – Erik Danemar
IR Director – Avto Makharoblishvili
Dial-in details: Sweden +46 (0)8 5052 0204 or 0200 125 762
Russia 810 8002 19 84 011
UK +44 (0)20 8515 2303 or 0800 358 5260
US +1 480 629 9835 or 1 877 941 0844
Conference Title: Black Earth Farming Q1 Report 2014
Conference ID: 468 26 35
Webcast link:
http://event.on24.com/r.htm?e=792114&s=1&k=15E96448A4C8AB64E2717F1396B71C65
Please quote the Conference ID or Conference title to access the call.
Please call in 5 minutes before the conference starts
For additional information, please contact:
Avto Makharoblishvili, Director of Investor Relations, Black Earth Farming Ltd., tel: +7 916 598 16 19
Notes to Editor:
Black Earth Farming Ltd. is a leading farming company, publicly listed on Nasdaq OMX Stockholm and operating in Russia. It acquires, develops and farms agricultural land assets primarily in the fertile Black Earth region in southwest Russia. Black Earth Farming has gained a strong market position in the Kursk, Tambov, Lipetsk and Voronezh areas, controlling some 280,000 hectares of what perhaps is the world's most fertile soil. In 2014 Black Earth Farming intends to harvest approximately 185,000 hectares, effectively making it one of the world's largest public farming companies by cropped area. The Company's main products are wheat, barley, corn, sunflower, soya, rapeseeds and potatoes.
Corporate website: www.blackearthfarming.com
