November 30 (SeeNews) - Bulgarian sugar producer Zaharni Zavodi [BUL:3Z9] said on Friday that it turned to a consolidated net profit of 1.4 million levs ($814,000/716,000 euro) in the first nine months of the year from a net loss of 1.8 million levs in the like period of 2017, following a drop in expenses.
The company's total operating expenses declined to 82.6 million levs in the January-September period from 118.3 million levs in the comparable period of last year, as a result of a drop in expenses for materials, figures from Zaharni Zavodi's interim financial statement showed.
Zaharni Zavodi spent 25.0 million levs on materials in the review period, sharply down from 59.8 million levs in the same period of 2017.
Operating revenue also decreased, to 83.9 million levs in the period under review from 116.6 million levs the year before.
Zaharni Zavodi generated 60.7% of its sales revenue on the domestic market and a further 26.0% from exports to the EU. The company sells its entire sugar output in Bulgaria, but exports the majority of its ethyl alcohol output to the EU.
In August, Zaharni Zavodi placed an 18.8 million levs seven-year convertible bonds issue. The bonds carry an annual coupon of 3% with coupon payments due semi-annually. The proceeds will be used to cover outstanding liabilities.
Zaharni Zavodi operates several production facilities – a sugar refinery, a confectionery plant and an ethyl alcohol distillery.
(1 euro = 1.95583 levs)