13 October, 2006

Poland: Industry report revealed that beer companies posted the healthiest gains in the food industry

According to a new report from the Agricultural Economics and Food Economy Institute, food production companies, representing almost 20% of total industry sales, are enjoying an increase in their net profitability, Warsaw Business Journal posted October 13.

The report, prepared by professor Roman Urban from the Institute, found that net profitability in H1 increased to 4.25% compared to 3.76% last year, while financial liquidity also improved. Thanks to this increase plus an 8% jump in turnover, net profit of companies in the food industry has grown by 18% in H1.

Beer companies posted the most significant gains 15%, while the tobacco and poultry industries suffered the most. Long-term company debt has, however, also increased, amounting to PLN5.3 billion in H1 as opposed to last year's PLN4.9 billion. Those most in debt are the fruit and vegetables and sugar industries, while the highest sale dynamic has been posted by sugar, fish and fat industry.

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