Goodvalley profited in Q1 2020

Goodvalley Group revenue increased by 23.9% to DKK(Danish Krone) 399 mln or USD 59.97 mln (Q1 2019: DKK 322 mln) in Q1 2020. Adjusted EBITDA progressed to DKK 131 mln or USD 19.69 mln (Q1 2019: DKK 37 mln) in Q1 2020, corresponding to an Adjusted EBITDA margin of 32.5% (Q1 2019: 11.5%).

Net profit increased to DKK 66 mln or USD 9.92 mln in Q1 2020 vs. DKK -2 mln or USD 0.3 mln of net loss in Q1 2019.

"The increase was mainly driven by a higher average live pig price in Q1 2020 following ASF outbreaks in several Asian countries in 2019, and volume growth contributed positively to the development as well," the report reads.

The Ukrainian business increased revenue by 46% to DKK 108 mln or USD 16.23 mln (Q1 2019: DKK 74 mln or USD 11.12 mln). Adjusted EBITDA grew 6x to DKK 45 mln or USD 6.76 mln (Q1 2019: DKK 16 mln or USD 2.4 mln) in Q1 2020. The strong improvement of earnings and profitability was driven by the increase in volume and price as well as a positive effect of lower feed prices, the company says.

The Ukrainian segment accounted for 27% of Group revenue in Q1 2020.

Previously reported that Goodvalley ranked among the largest pig breeding companies of Ukraine in 2019.