Avangardco in "most difficult time in its history", CEO said

Avangardco in "most difficult time in its history", CEO said

Avangardco, the Ukraine egg processor, posted a loss of over US$152m for the first half of the year amid an inventory writedown and a 54% drop in revenue.

The London-listed group booked a net loss of $152.4m for the six months to the end of June, compared to profit of $52m a year earlier. It made an operating loss of $110.4m, compared to operating profit of $97m in the first half of 2014.

Revenue stood at $121.4m, versus $262.7m a year earlier.

CEO Irina Marchenko said Avangardco was in the middle of "the most difficult time in its history", facing reduced demand and the depreciation of the hryvnia hitting prices.

"Avangardco therefore had to adjust its production processes to help minimise the impact on the company's assets and its financials and make them more streamlined for domestic and global demand. In spite of the one-off inventory write down, which affected its financial performance, Avangardco continues to be one of the world's largest producers of shell eggs and dry egg products. We remain a leading exporter of these products from Ukraine with a diverse global client portfolio. Vertical integration of the business and its modern production infrastructure place the company in a strong position to return to profitability and bring its performance to pre-crisis levels once the situation in Ukraine starts to stabilise."