Foodstuff, Latvia, Markets and Companies

International Internet Magazine. Baltic States news & analytics Thursday, 28.03.2024, 12:18

HKScan Latvia profit decrease sixfold due to drop in pork prices

BC, Riga, 24.08.2015.Print version
The meat-processing company HKScan Latvia, formerly known as Rigas miesnieks, operated with a EUR 37.07 million turnover in 2014, a decrease of 1% compared to 2013, when it turned over EUR 36.73 million, reports LETA, according to information from Firmas.lv.

Company's profit decreased sixfold – from EUR 826,754 in 2013 to EUR 129,262 in 2014.

 

According to company's management report, financial indicators were influenced by the Russian embargo and the spread of African swine fewer that resulted in a high decrease in pork prices, and altogether negatively influenced the entire meat-processing industry.

 

The main part of the turnover – more than EUR 25 million – were the income from selling different types of sausages, followed by dumplings, meat and its byproducts, as well as semi-ready meat products.

 

Last year, the company invested EUR 211,368 in its development; the money was devoted to improvement of the production and logistics areas. Also this year the company is planning to continue investment, as well as optimize production, revise company's portfolio and brands, taking into account the market trends.

 

As reported, concluding re-organization that lasted several years, by order from its Finnish parent company, the meat-processing Rigas miesnieks was be renamed HKScan Latvia in the March of 2013.

 

Rigas miesnieks in 2013 merged with Jelgavas galas kombinats, with the Jelgava plant taking the production end, but Riga – logistics and management. Both well-known brands were retained.

 

The company produces pork, beef, poultry, mutton, processed meat and semi-ready meat products. The company sells goods in Finland, Sweden, Denmark, Baltic countries and Poland, altogether exporting their produce to 50 countries.






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