DN Agrar estimates increasing revenues and profits for this year

Livestock farm operator DN Agrar has budgeted operating income of 312.6 million lei for this year, 18% higher than last year, while the estimated net profit is 38.8 million lei, up 22% compared to 2024, according to the issuer's reports published on the Bucharest Stock Exchange (BVB) website.

"The financial projections developed for 2025 were made taking into account a 10% increase in milk production at the DN Agrar group level, which we estimate will reach a volume of approximately 70 million liters. This objective will be achieved due to the increase in the number of productive dairy cows, as well as the continuous optimization of animal management at the DN Agrar farms level. Regarding the price of cow's milk, we estimate the same average price for 2025 as in 2024," the BVB report said yesterday.

Last year, DN Agrar delivered about 63 million liters of milk, 14% more than the amount in 2023. "In the budgeted turnover, we also added the sale of 3,500 tons of compost that will be produced in the compost factory that was inaugurated in 2024, within the DN Agrar Apold farm.

This estimate is based on the current market price of compost for Big Bags packaging, with sales scheduled for the third and fourth quarters," the company's report also states. DN Agrar also estimates that this year it will record a loss from financial activities of 10.3 million lei, given that financial expenses would amount to 11.4 million lei.

The forecasted EBITA margin is 41.9%, while the net profit margin is 18.4%. At the end of last year, the DN Agrar Group had total assets of 361.7 million lei, 17.4% higher than in 2023, while total liabilities amounted to 194.6 million lei, up 12.9%.

DN Agrar was founded in 2008 by Jan Gijsbertus de Boer and operates in central Transylvania, in the counties of Alba, Sibiu and Hunedoara. The issuer's main areas of activity are animal husbandry, agricultural plant production, agricultural services, logistics, transport, tourism and business and management consulting services. The DN Agrar Group includes eleven companies, of which four farms whose main activity is dairy cow breeding (Prodlact farm) and cow milk production (Cut, Lacto Agrar and Apold farms). The DN Agrar Group has approximately 300 employees, works over 7,000 hectares of owned and leased land and owns over 15,000 animals, both dairy cows and young cattle.