Year 2016 12 month net turnover 18 604 200 EUR, 105 % more than in year 2015 12 month. During the reporting period net loss 386 348 EUR, 2016.12.31. book value 10 739 147 EUR - 7% more than in year 2015.

"Baltic Dairy Board" factory was put into operation on December 22, 2015, production launch on January 15, 2016. Baltic Dairy Board, Ltd main type of activity is raw milk and other dairy side product processing. Manufactured raw materials are then being used for end products like butter, milk protein powder and yeast products. Main goal is to establish own drying facility by 2018 with capability to dry own liquids and offer drying services to other dairy companies.

In annual report Net turnover was 18 604 200 EUR, which is 105% more than it was in year  2015 12 month. This drop was according to price drop for all dairy products and downfall in dairy industry itself. 

The book value of  31.12.2016 is 10 739 147 EUR which is 7% more than 31.12.2015.

In financial statement of year 2016  12 months Net loses are 386 348 EUR. The losses were incurred in the first four months of production. This can be explained by several reasons which are logical at the beginning of production:

1.      Starting milk processing in the Latvian market as a new market player requires purchase of additional ingredients in this stage. The process was successful; however, the Company had to pay a higher price for milk than other processors paid on average.

2.      This is closely connected to the first aspect. The lower processing capacity is, the higher expenses for each processed ton are. Every month, with the amount of milk increasing the expenses for each processed ton decreased significantly, thereby notably increasing the efficiency.

3.      Product quality. In the first four months all issues regarding product quality were eliminated that allowed to sell high quality products for more favourable prices further on.

   Starting production in January 2016, the goal was to achieve higher quality indicators for the manufactured products and the highest possible processing efficiency as quickly as possible - it has been done.

         Additional information:
         Ilona Kazaka
         Member of the Board
         Phone +371 28344991
         e-mail: ilona@bdb.lv