16th Dec 2005 16:25
Ukrproduct Group Ltd16 December 2005 16 December 2005 Ukrproduct Group Ltd Trading Update Ukrproduct Group Ltd ("UPG" or "the Group"), is today providing the followingupdate on trading. The consumer outlook in the Ukraine remains positive, with UPG maintaining itsmarket leading shares in its two core segments, processed cheese and packagedbutter. Turnover growth remains in line with expectations. Over the last month, however, margins have been impacted by high raw materialprices and lower prices for skimmed milk powder in the export market. Whilst UPGcontinues to believe the company will deliver strong profit growth in thecurrent year, this growth will not be as pronounced as previously expected as aresult of this impact on margins. UPG is addressing this impact through the introduction of new high marginproducts and the renegotiation of raw milk prices. The Group is also graduallyimplementing increased pricing across its product range. Notes to editors Ukrproduct Group Ltd (UPG) is one of Ukraine's leading producers of brandedfoods. Headquartered in Kyiv and registered in Jersey, the company's mainbusiness focuses on the production and distribution of branded food products,namely packaged butter and processed cheese, to wholesale and retail outlets inUkraine through its own distribution network. UPG also produces skimmed milkpowder for export to countries across Europe as well as the Far East. UPG is themarket leader in the processed cheese and packaged butter segments, withestimated market shares of 33% and 23% respectively. UPG is one of Ukraine'sfastest growing companies within its sector, with compound average sales growthof 55% between 2001-2004. On 11 February 2005,Ukrproduct Group Ltd, became the first Ukrainian tradinggroup to be admitted to AIM. The company successfully placed 27.2% of its sharecapital at 53.5p per share, giving the company an initial market capitalisationof £22.5 million. For further information: Ukrproduct Group +38 044 502 8014Sergey Evlanchik, CEO, and Dmitry Dragun, CFO Financial Dynamics +44 20 7831 3113Ben Foster/ Charles Watenphul This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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