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PODRAVKA FOOD INDUSTRY EARNS 80-MILLION-KUNA PROFIT IN 2000

ZAGREB, April 15 (Hina) - The Koprivnica-based food industry 'Podravka' last year made profits worth 79.96 million kuna, which is nearly four times more than the year before, the company's management told a news conference in Koprivnica last Monday. The real increase of Podravka sales in 2000 was four percent, and 43 percent of sales income was earned on foreign markets, where the company increased sales by six percent, said the chairman of the management board, Darko Marinac. Podravka representatives consider last year's moderate growth in sales good considering the liberalisation of the Croatian market following the country's admission to the World Trade Organisation, which has increased competition, primarily among multinational companies. Podravka's total income in 2000 amounted to 2.48 billion kuna, which is 0.62 percent less than the year before. The food additive Vegeta still ac
ZAGREB, April 15 (Hina) - The Koprivnica-based food industry 'Podravka' last year made profits worth 79.96 million kuna, which is nearly four times more than the year before, the company's management told a news conference in Koprivnica last Monday. The real increase of Podravka sales in 2000 was four percent, and 43 percent of sales income was earned on foreign markets, where the company increased sales by six percent, said the chairman of the management board, Darko Marinac. Podravka representatives consider last year's moderate growth in sales good considering the liberalisation of the Croatian market following the country's admission to the World Trade Organisation, which has increased competition, primarily among multinational companies. Podravka's total income in 2000 amounted to 2.48 billion kuna, which is 0.62 percent less than the year before. The food additive Vegeta still accounts for the largest part of the sales (27%), said Marinac, adding last year's decrease in the sale of Vegeta had been curbed and the sale of the company's main product was expected to continue growing. Sales data for the first several months of this year show a positive trend, the growth rate is expected to be nine percent by the end of this year and the annual growth rate in subsequent years is projected to be ten percent. In 2001, Podravka will continue its intensive activities in the area of job rationalisation which Marinac says is the main precondition for the company to maintain competitiveness in the long run. The company has started redefining its business strategy and improved liquidity. Last year Podravka entered markets in Romania, Turkey, Greece, and the Federal Republic of Yugoslavia, where it opened a regional office. Podravka should soon sign a USD 40-million-worth loan with the International Finance Corporation, which is part of the World Bank. Half the amount would be used for refinancing expensive domestic loans and the other half for development purposes and planned acquisitions, which Podravka representatives do not want to comment on yet. Intensive preparations for international stock markets are underway, however, given the current unstable situation there, the company management has decided to wait for a better moment to offer its shares. (hina) rml

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