Page 14 - ar2012

OPERATIONS REVIEW
FINANCIAL
PERFORMANCE
The Group delivered a strong set of
financial results for our shareholders
in 2012, both in terms of revenue and
profitability.
Group’s revenue reached a new high of
US$237.7 million, an increase of 5.3 per
cent over 2011. In terms of profitability,
the Group achieved a 36.6 per cent
increase in its profit after-tax to US$20.2
million, a significant improvement
over 2011.
The Group’s revenue grew in all its three
geographical regions. Russia, our largest
market has recovered strongly since the
economic downturn in 2008. Compared
to 2011, sales in Russia were up by
5.8 per cent to reach a record high of
US$136.9 million.
Sales in our second largest region,
Eastern Europe and Central Asia
(comprising Ukraine, Kazakhstan and
the CIS Countries), rose by 4.5 per cent
to US$74.6 million. The Group’s other
markets, which comprise mainly the
Middle East and Asia also enjoyed a 5.2
per cent increase in sales to US$26.2
million.
In 2012, the Group recorded a robust
profit after-tax growth of 36.6 per cent to
US$20.2 million, compared to US$14.8
million in 2011.
Besides an increase in overall sales
volume, several other factors contributed
to the strong financial performance.
Firstly, the Group achieved better
operating margins for its products in
key markets due to a combination of
better average selling price and lower
raw material costs, namely instant coffee,
non-dairy creamer and sugar. Secondly,
there was a turnaround in foreign
exchange performance with a gain of
US$585,000 in 2012, compared to a
loss of US$812,000 in the previous year.
Thirdly, the Group’s share of profits
from associates also increased from
US$277,000 in 2011 to US$1.3
million in 2012.
In line with the Group’s international
expansion, we increased our headcount
in 2012, which resulted in a rise in
staff costs of 19.2 per cent to US$29.1
million. The increase also reflected
higher salaries as well as increased social
contributions paid to staff.
ETHIOPIAN HERDSMAN,
KALDI, CAUGHT HIS GOAT
BEHAVING EXCITEDLY AFTER
CHEWING ON SOME RED
BERRIES. THE DISCOVERY
OF COFFEE WAS MADE!
ARAB TRADERS TOOK
ETHIOPIAN COFFEE BEANS
TO ARABIA (MODERN DAY
YEMEN) AND CULTIVATED
THE FIRST COFFEE
PLANTATIONS.
NEW YORK CITY, USA
– COFFEE OVERTOOK
BEER AS THE BREAKFAST
BEVERAGE OF CHOICE,
COMPLEMENTING
EGGS AND TOAST.
FIRST JAVANESE
COFFEE BEANS
HARVESTED AND
BREWED, THANKS
TO THE DUTCH EAST
INDIA TRADERS.
A PARISIAN METAL-
SMITH, LAURENS,
INVENTED THE
VERY FIRST COFFEE
PERCOLATOR
Kazakhstan University Promotion 2012
MAGNIFYING
STRENGTHS
BEAN THROUGH HISTORY
850
AD 1100 1668 1704 1818
Soccer match between Ukraine and Montenegro
12