Cherkizovo 2009 net up on more pork, lower costs
* Net income up to $120.2 mln in 2009 from $78.1 mln in 2008
* EBITDA margin up to 18 pct from 13 pct
* Revenues up 12 pct in roubles, down 12 pct in dollars
MOSCOW, March 31 (Reuters) - Russian meat producer Cherkizovo group said 2009 was its most profitable year ever, as reduced costs and increased production helped it weather a recession-hit fall in sales.
Net income rose 54 percent to $120 million in 2009, as output in the high-margin pork division rose by 38 percent thanks to new farms nearing full capacity, the company said.
In line with Russia's drive to reduce dependence on imported meat, Cherkizovo plans to further raise pork output [ID:nLDE6290JT], and expects the pricing environment to remain favourable this year, Chief Executive Sergey Mikhailov said.
"The company will continue to leverage the benefits of improving efficiency and increasing capacity, particularly in our higher-margin pork and poultry businesses, to take advantage of the opportunities in the market and M&A opportunities, " he said in a statement.
Cherkizovo's EBITDA margin increased to 18 percent from the 13 percent seen in 2008.
The improved results came even as sales fell 12 percent in dollar terms to $1.02 billion, dented by a depreciation in the rouble <RUB=>. The company also said that consumption fell in some regions, as Russian tightened their belts in the face of job and salary cuts during the recession.
In rouble terms, revenues were up by 12 percent, while net income was up by 96 percent.
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