Kernel net profit for H1 FY2019 increased 83 pct

In H1 FY2019, the Kernel company increased its net profit by 83 pct to USD 164 million.

Revenue for the period rose by 2.1x to USD 2,26 billion, while EBITDA grew by 87 pct to USD 229.9 million.

In February 2019, the company acquired a 100% interest in RTK-Ukraine for USD 64 mln presented by 2,949 grain railcars.

"The acquisition shall not only contribute an estimated incremental EBITDA of up to USD 20 mln annually and protect the company against ever rising logistic costs, but it shall also procure the smooth and efficient flow of grains from inland silos to the ports as Company’s export volumes increase following the commissioning of TransGrainTerminal in the port of Chornomorsk," the report says.

Net margin increased from 8.4% to 7.3%. Earnings per share (ESP) is up 83 pct to USD 2.00.

Previously the company informed about attracting project financing arranged by the European Bank for Reconstruction and Development (EBRD). The financing of up to USD 56 million will consist of EBRD loan of USD 48 million and a USD 8 million loan from the Clean Technology Fund (CTF), with a tenor of the loans being 8 years.