“Compared to last year, in Q1 2023 Norofert chose not to trade organic cereals due to the volatility and, in some places, the blockage of the organic cereal market. Farmers are expecting higher prices after massive declines in recent months for all grain prices, organic or conventional,” the report reads.
Its operating revenue fell by 16.5% to RON14.4 million, operating expenses dropped by 23.5% to RON14.6 million, and operating profit grew by 22.4% to RON3.3 million on the year in Jan-March 2023. The company’s EBITDA climbed 19% on the year to RON3.5 million in the first quarter of 2023.
On March 31, 2023, Norofert had total debts of RON62.6 million, higher by 44.9% versus end-March 2022, and total assets of RON89.2 million, up 35.4% on the year. Its long-term debts stood at RON23.4 million in Jan-March 2023, double on the year.
“After contracting a loan of 2 million euro, Norofert purchased raw material for the granulate line and goods (granulated fertilizers), but their delivery was made at the end of April 2023, so Q1 2023 finds us with long-term debts growing but not with receivables to match, as the goods arrived late, being prepared for sale in Q2 and Q3 2023,” the report also reads.
In 2022, Norofert reported a consolidated net profit of RON10.6 million, higher by 49.1% on the year, and operating revenue of RON77.4 million, up 57.9% on the year.
Norofert, with a market capitalization of RON112.8 million, is 36.4%-owned by Vlad Popescu,15%-held by Ileana Popescu, and 11.6% by Marius Alexe. NRF shares have been trading up 7.5% since the beginning of 2023, amid deals worth RON6.5 million, as per stock market data.