AS RAKVERE LIHAKOMBINAAT

ANNOUNCEMENT

25.08.1999

 

COMMENTARY TO THE FINANCIAL RESULTS 06/99

 

(AS Rakvere Lihakombinaat, AS Rigas Miesnieks, AS Ekseko, AS 

Linnulihatooted, Rigas Miesnieks Trading, Rakveres Mesos Produktai 

Vilnius).

 

H1 1999 consolidated net sales of Rakvere Lihakombinaat amounted to 

371.4 million EEK (426.9 million EEK in H1 1998) and net profit 0.2 

million EEK (1.6 million EEK loss in H1 1998). 

 

H1 1999 net sales of the parent company amounted to 262.7 million EEK 

and net profit 8.9 million EEK (384.5 million EEK and -1.6 million EEK, 

respectively, in H1 1998); net sales of Rigas Miesnieks totaled 112.3 

million EEK, loss 6.5 million EEK; net sales of Ekseko were 46.5 

million EEK, loss 3.5 million EEK; net sales of Linnulihatooted totaled 

15.0 million EEK, net profit 0.5 million EEK; net sales of Rigas 

Miesnieks Trading amounted to 119 million EEK and profit 0.025 million 

EEK; net sales of Rakveres Mesos Produktai Vilnius 15.4 million EEK and 

profit 0.6 million EEK.

 

Decreased group profit figure was mainly due to shrinking of exports. 

Compared to the results of H1 1998, the parent company’s exports 

decreased by approximately 40%. 

 

The parent company’s increased profit figure was mainly due to 

successful reorganization of the company and increased production 

efficiency. The profit figures are also closely connected with the 

price of raw materials, especially pork. In H1 1999, the average price 

of pork on the world market was 13.- EEK/kg (25.- EEK/kg in 1998). On 

the other hand, AS Ekseko operated in loss in H1 1999 due to low prices 

of pork. Based on world market forecasts, however, the group expects AS 

Ekseko to end the year with profit.

 

H1 1999 consolidated financial reports will be published on 26.08.99.

 

 

Andrit Heidov

Information Manager

+372 32 29 211