Croatia's Fortenova Grupa reported a net profit of 523 million kuna (€69.6 million) for 2021, its first since being saved from bankruptcy in 2018, according to the food producer and retailer.
Fortenova, whose top shareholder is Russia's Sberbank, reported a 65% jump in consolidated revenue to 31.4 billion kuna (€4.2 billion).
Earnings before interest, taxation, depreciation or amortisation (EBITDA) rose 52% to 1.955 million kuna (€260 million) after it sold its frozen food business and regained control over Mercator, Slovenia's biggest food retail chain.
'The key reason behind the success of consolidated results is the fact that the Mercator business has been integrated in the results of the Fortenova Group since 1 May 2021,' it said in a statement.
Positive Results
Its positive results continued in the first quarter of 2022, the company said, as its 18 companies recorded a 6% rise in revenues and a 2% increase in EBITDA versus a year earlier.
Formerly known as Agrokor, Fortenova is one of the biggest companies in southeastern Europe. It was saved from bankruptcy in a restructuring deal with local and foreign creditors in mid-2018, which included a change of name and its ownership structure.
Under its latest restructuring aimed at preventing institutions under sanctions holding stakes of more than 50% individually or together, Sberbank controls 42.51% and Russian No.2 lender VTB has a 7.39% share.
Regional Investment
CEO Fabris Peruško said this year the group will launch regional investment worth more than 130 million kuna (€17.3 million) after it reduced its debt by 4.4 billion kuna (€590 million) in 2021.
Besides Mercator, Fortenova also owns the biggest food retail chain in Croatia, Konzum, and is present in several Balkan countries.
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