Kernel will not pay dividends for FY2022 due to losses
22.12.2022 - 10:00
Agroholding “Kernel” will not pay dividends for the 2022 fiscal year due to net losses of $41.1 million.
The relevant decision was made by the company’s shareholders at a meeting on December 20, Kernel reported to the Warsaw Stock Exchange.
Against the background of a 51% decrease in revenue to $655 million, the company’s EBITDA indicator fell by 40% year-on-year to $168 million.
In natural terms, “Kernel” experienced a 68% drop in grain exports to 710,000 tons, as well as a 14% drop in oil sales to 460,000 tons.
Kernel’s net profit in July-September amounted to $162 million, which is 23% less year-on-year.
The sharp deterioration in the agricultural holding’s financial indicators is related to grain export problems and the reduction of the company’s scale after the sale of part of the land bank in the first half of 2022, according to specialists of the investment company Eavex Capital.
At the same time, experts note: if military risks do not increase further, there is a fairly high probability that the ratio of “Kernel” debt to EBITDA will return to a normal value of 3.0x by June 2023.
Read also: “Kernel” lost $41 milion due to the war
