Agricover Holding ups net profit by more than a third

Agricover Holding, one of the biggest agribusiness groups in Romania, reposted a net profit of RON 36.6 mln (EUR 7.47 mln) in the first half of this year, up by 35% compared with the same period of 2020.

The profit from continuing operations was even higher at RON 42 mln.

The group decided to spin off its subsidiary Abatorul Peris, which specializes in pig slaughtering and pork processing, due to higher operating risks and lack of synergies with the other divisions.

The group’s other divisions are Agricover SA, specialized in the distribution of agricultural technologies and inputs (seeds, pesticides, fertilizers, and diesel), Agricover Credit IFN, which provides loans to farmers, and Agricover Technology, which aims to develop digital technologies for the agriculture sector.

The group has a highly integrated business model, with a significant part of the sales of Agricover SA financed through loans granted by Agricover Credit IFN.

The group’s trade revenue amounted to almost RON 700 mln in the first six months of this year, up by 27% compared with the same period of 2020.

In February, the group issued bonds worth EUR 40 mln with a five-year maturity.

(Photo: Pixabay)