Daily monitor

According to a press release issued by Ukrtelecom [UTLM UZ, U/R], the company ended 1Q09 with a net loss of UAH 181.6 mln (USD 23.6 mln). Net revenues for the same period increased by 0.9% to UAH 1,678 bln (USD 217.9 mln).

The April 24 AGM at Mariupol Illich Iron & Steel Works [MMKI UZ, U/R] went mostly as planned. In particular, the entire FY08 net income, USD 258 mln, will be reinvested.

The April 27 AGM of Donetsk Metal Rolling [DMPZ UZ, SELL] confirmed our view that the situation there is very difficult.

Kovelmoloko [KMOL UZ, HOLD], a Ukrainian dairy producer, increased its net revenues in 2008 by 7.1% YoY to UAH 285.9 mln (USD 37.14 mln). The company’s net income shrank by 60% YoY to UAH 1.4 mln (USD 0.2 mln).

Western Ukraine’s power generating company, Zakhidenergo [ZAEN UZ, U/R], posted a UAH 80.7 mln (USD 10.5 mln) net loss in 1Q2009. The company’s net revenues grew 16.8% YoY in 1Q2009 to UAH 1 266.6 mln (USD 164.5 mln). Meanwhile, DTEK’s representatives claimed that ZAEN has accumulated a historically high 300 thsd metric tonnes of coal in storage.

Ukrainian banks are beginning to post their 1Q2009 results. The aggregated net loss of the Ukrainian banking system reached UAH 7 bln and most of the banks are disclosing losses stemming from high provision expenses, but some of them are posting profits.

Mriya [MAYA GR, U/R], an agricultural holding with a land bank of 157.5 thsd ha,, plans to invest a total of USD 50 mln into the construction of silo facilities before 2011.

Poltavkhimmash [PHMSH UZ, U/R], a rapidly growing railcar tank producer in Ukraine, announced its financial results for 2008. According to a company press release, PHSMSH increased net sales by 44% to UAH 309.3 mln (USD 58.4 mln), and net income grew by 6.3 times to UAH 30.1 mln. (USD 5.7 mln).

Kryukiv Railcar [KVBZ UZ, U/R], based in Kremenchug (Poltava Oblast), decided to pay dividends for 2008. KVBZ’s EPS’08 is UAH 3.49, which is a 50% increase compared to the previous year; DPS’08 is UAH 0.5, which is 500% higher than DPS’07. Dividends will be paid out over May-June 2009.

Dneprovagonmash [DNVM UZ, U/R], a large domestic carriage producer owned by TAS Group, has announced plans to decrease railcar production by 42.21% to 1880 units due to low demand for new railcars in the CIS.