Revenue increased by 26.6 per cent year-on-year to US$283.6 million (H1 2011: US$223.9 million). EBITDA increased by 33.9 per cent year-on-year and reached US$122.1 million (H1 2011: US$91.2 million), with EBITDA margin increasing up to 43.1 per cent (H1 2011: 40.7 per cent).

Operating profit increased by 36.1 per cent year-on-year to US$114.5 million (H1 2011: US$84.1 million).

Net profit for the year grew by 45.6 per cent year-on-year to US$97.6 million (H1 2011: US$67.0 million), with profit margin of 34.4 per cent (H1 2011: 29.9 per cent).

Operational highlights

• Total flock increased by 6.2 per cent year-on-year to 25.9 million (H1 2011: 24.4 million). The number of laying hens increased by 9.6 per cent year-on-year to 20.6 million (H1 2011: 18.8 million);
• Production of shell eggs increased by 8.0 per cent to 3.106 billion units (H1 2011: 2.875 billion units);
• Sales of shell eggs to external clients increased by 12.8 per cent year-on-year to 2.412 billion units (H1 2011: 2.139 billion units);
• The share of shell egg sales through modern retail chains increased to 31 per cent of total sales to external customers (H1 2011: 30 per cent);
• The average egg price increased by 26.4 per cent year-on-year and amounted to UAH 0.67 excluding VAT (H1 2011: UAH 0.53 excluding VAT);
• The production of dry egg products increased by 22.4 per cent year-on-year reaching 7.1 thousand tons (H1 2011: 5.8 thousand tons), or 541 million eggs in egg equivalent (H1 2011: 534 million eggs);
• The average price of dry egg products increased by 9.1 per cent year-on-year to US$7.54/kg (H1 2011: US$6.91/kg);
• In H1 2012 export of shell eggs and egg products in egg equivalent amounted to 342 million eggs.

Nataliya Vasylyuk, Chief Executive Officer of Avangardco IPL, said: “I am pleased to report a strong first half performance, with all key financial metrics significantly ahead of the same period last year, which shows the effectiveness of our chosen strategy. Despite the presence of substantial price growth of eggs and egg products, demand for our products continued to increase. Due to this, the Company was able to significantly increase its exports to the Middle East, North Africa and Asia, as well as to increase sales of its products in the domestic market.

"I would like to note that despite the fluctuations in world grain prices, the achieved result proves the effectiveness of the strategy of hedging the cost of grain in the forward contracts.The Company continues to implement its investment projects “Avis” and “Chornobaivske”. The projects comply with the highest international standards and with the EU regulations on poultry keeping. Positive negotiations between Ukraine and the EU on the export of poultry products to Europe should yield new commercial opportunities.

"The high quality of our products and our well-organised operating activities will allow us to continue our successful expansion into international markets and maintain market leadership in Ukraine in the second half of 2012, which will have a positive impact on the Company's financial results.”

Further Reading You can view the full financial results by clicking here.