The merger cooperative ABZ De Cooperation UA says it had a good year in 2022, with the two cooperatives ABZ and De Cooperation successfully merging. The feed group eventually achieved a record turnover of €440 million. Bottom line, this resulted in a result after tax of €5,9 million.
ABZ De Cooperation announced this on Tuesday. The record turnover is largely due to the consequences of the outbreak of war in Ukraine. As a result, raw material, fertilizer and energy prices rose to unprecedented levels in February last year. The cooperative was able to benefit from its purchasing positions in raw materials and energy, especially in the first half of the year, ABZ De Cooperation reports in a statement.
Of the profit of €5,9 million, the company returns €1,8 million to the affiliated members. This results in a supplementary payment of €3 per tonne of compound feed purchased. In addition to integrating the organizations of ABZ and De Samen, the new cooperative also took over the activities of Bosgoed Diervoeders from Wilp-Achterhoek. As a result, ABZ De Samen claims, this has created a strong national supplier of animal feed that serves all sectors in all regions.
The three companies managed to grow independently of each other last year. Together they sold 815.000 compound feeds last year. Total sales, including production for third parties, sales of raw materials and roughage, amounted to 966.000 tonnes of animal feed. ABZ De Cooperation does not report the number of members that the cooperative now has, but according to the cooperative there was "little customer loss in 2022 and a good growth of new members/buyers." The growth was strongest in the sales of poultry feed (15%) and pig feed (10%). Sales of ruminant feed increased by 2%.
© DCA Market Intelligence. This market information is subject to copyright. It is not permitted to reproduce, distribute, disseminate or make the content available to third parties for compensation, in any form, without the express written permission of DCA Market Intelligence.