Cherkizovo reports strong H2 sales
Poultry sales increased by 34% to 158,345 tonnes, up from 117,990 tonnes in the same period last year. Prices increased by 3% to 73.61 RUR/kg, although a weakening of the rouble meant that prices in dollar terms decreased by 4% from $2.51/kg in the first six months of 2011 to $2.40/kg in the first half of 2012.
Pork sales increased by 14% to 46,764 tonnes of live weight, compared to 41,070 tonnes in the same period last year. Pork prices increased by 5% to 81.32 RUR/kg, although again the weakening of the rouble meant that prices in dollar terms decreased by 2% from $2.70 per kg of live weight in the first six months of 2011 to $2.65/kg of live weight in the first half of 2012.
However, the company’s meat processing division saw a 11% decrease in sales, from 70,097 tonnes in 2011 to 62,105 tonnes in the first six months of this year. Cherkizovo said that this was primarily due to “the closure of an inefficient slaughtering facility in southern Russia”.
Prices of processed meat increased by 13% to 144.11 RUR/kg, while prices in dollar terms increased by 5% from $4.47/kg in the first half of 2011 to $4.70/kg in the first half of 2012.
Cherkizovo Group is the largest meat manufacturer in Russia, reporting 2011 revenues of circa $1.5 billion. The company is vertically integrated, with facilities including six meat processing plants, seven poultry production and processing facilities and 10 pig breeding and rearing complexes.