Falling skimmed milk powder prices has offset higher branded sales and hit annual earnings at Ukrainian dairy group Ukrproduct.

The London-listed firm today (29 April) posted a 13.4% in EBITDA to GBP4.8m (US$7.1m), while EBITDA margins fell from 11.4% to 9.1%.

Revenues rose 8.7% to GBP52.3m, as sales from Ukrproduct's branded business climbed 51.8% to GBP38.2m.

However, turnover from Ukrproduct's skimmed milk powder division tumbled by more than 43% to GBP11.6m.

CEO Sergey Evlanchik said Ukrproduct would continue to promote its brands and look to boost exports by targeting new markets. He added, however, that the downturn would continue to weigh on returns from skimmed milk powder.

"We intend to continue promoting our brands and products through a series of targeted marketing campaigns and take further steps in developing and optimising our sales and distribution network," Evlanchik said. 

"Furthermore, we plan to increase our export sales to new markets both geographically and through additional product offering. However, skimmed milk powder prices are anticipated to remain weak until there are signs of recovery in the global economy and commodity markets."